Next week, the price of diesel is expected to decrease by one cent, while the price of gasoline is likely to remain unchanged, as projected on Friday by the Automóvel Club de Portugal (ACP).
“After a week where both gasoline and diesel prices dropped, next week only diesel prices are expected to change,” states the ACP website.
Thus, “if the forecasts for next week hold true, the average price of simple diesel will settle at 1.539 euros, and that of simple gasoline 95 will remain at 1.70 euros.”
“It should be noted that these forecasts assume the continuation of extraordinary fiscal reduction measures implemented by the government to mitigate rising prices,” the ACP adds.
End of ISP Discount? Government Working on a Solution
The Finance Minister assured that the Government is working on a solution to phase out the discounts on the tax on petroleum and energy products (ISP), as recommended by the European Commission, without increasing fuel prices.
“We will seek moments of price reduction to reverse these discounts,” stated Joaquim Miranda Sarmento, Minister of State and Finance, presenting the State Budget proposal for 2026 in Lisbon.
Today, the Finance Minister guaranteed that the Government is working on a solution to phase out the discounts on the tax on petroleum and energy products (ISP), as recommended by the European Commission, without increasing fuel prices.
The official noted that this issue has been raised by the European Commission since 2023, being “the sole remark” made in the evaluation of the Medium-Term Budgetary Plan Program, back in October last year, and in a new letter received in June urging the government to end ISP discounts.
The Minister of Economy and Territorial Cohesion, Manuel Castro Almeida, had already admitted “adjustments” in fuel prices days ago.
“The position the Government took last year was to only make adjustments when gasoline prices fall, so that the public does not feel they are paying more due to increased taxes,” Castro Almeida pointed out, emphasizing that it would be “unthinkable to do so all at once.”
The Government estimates that revenue from the tax on petroleum and energy products (ISP) will rise by 187 million euros to 4.254 billion euros, according to the State Budget proposal for 2026 presented today.
“This growth results from the anticipated increase in private consumption,” the document states.
The second budget crafted by the Finance team led by Joaquim Miranda Sarmento, whose proposal has already been approved by the Council of Ministers, will be debated generally at the end of the month, with the final vote scheduled for November 27.
[Updated at 09:51]
