The upcoming week is expected to bring relief in fuel prices. The reduction will be evident as early as Monday for both diesel and gasoline, with a more pronounced decrease for the former.
Industry sources, as cited by the Automóvel Club de Portugal (ACP), indicated that the price of gasoline is expected to drop by 0.5 cents, while diesel will see a reduction of two cents.
“If predictions for the week of December 8 to 14 hold true, the average price for simple diesel will be set at 1.572 euros, and simple 95 gasoline will decrease to 1.699 euros,” stated the ACP.
These calculations consider data from the Direção Geral de Energia e Geologia (DGEG), which reported on Friday, December 5, that the average price per liter of diesel in Portugal was 1.592 euros, whereas gasoline was priced at 1.704 euros.
The ACP also noted that the “forecasts assume the continuation of the extraordinary fiscal reduction measures implemented by the government to mitigate the price increase.”
“The measures in force include the reduction of the Imposto sobre Produtos Petrolíferos (ISP), which the Government began reversing this month with an aim to end next year, alongside the compensation for the additional VAT revenue,” it read.
Government Reduced Fuel Tax Discount
The government reduced last week the ongoing discount on the Imposto Sobre Produtos Petrolíferos (ISP) for unleaded gasoline and road diesel.
According to an order published on Friday, November 28, in Diário da República—which took effect the following Monday—the ISP rate applicable on the mainland for gasoline with a lead content equal to or less than 0.013 grams per liter was adjusted to 497.52 euros per 1,000 liters, up from the current 481.26 euros.
The ISP rate for diesel rose from the existing 337.21 euros to 361.60 euros per 1,000 liters.
Prime Minister Luís Montenegro today dismissed claims that the reduction in the ISP discount would result in an increase in fuel prices for consumers.
Lusa | 11:59 – 05/12/2025
