“We have to reverse the discount and we started doing so two weeks ago. We will use the same methodology as two weeks ago: whenever there are price decreases that allow us to accommodate part of the reversal of the discount, it will be done,” said the Minister of Finance, Joaquim Miranda Sarmento, in statements to Portuguese journalists.
When asked when this will happen, the minister indicated that it was “impossible to say”. "If I could predict the price of oil six months or a year in advance, I'd be a trillionaire like Elon Musk, but unfortunately I don't have that ability," he quipped.
At issue are the European Commission's regular requests for Portugal to end the discount on the Tax on Petroleum and Energy Products (ISP), which was created in 2022 and 2023 following the energy crisis related to the war in Ukraine and high inflation.
According to the government, the European Commission has not imposed any date, so the reduction will be gradual.
At the end of November, the government reduced the discount on the ISP applicable to unleaded petrol and road diesel, cancelling part of the fuel price drop planned for the following week.









Pays socialiste?
By Miguel Schuermans from Algarve on 16 Dec 2025, 09:05
So, the government has no clue - while the rest of the world (and most companies which are heavy users of gas, diesel, petrol, and av.gas) have created hedging solutions and other instruments to safeguard against this.
However, instead of doing it this way, and scrapping all subsidies to polluting fossil fuels - why not grant immediate tax benefits to EV's and Hybrid vehicles on the road, (e.g. - road tax is reduced 50% and 25% respectively on tolls), and car taxes are immediately reduced?
I never the get the government's need to be completely non-commercially minded, and then blame everybody else for their own mistakes and irrational behaviour.
I guess politicians just cannot be changed, anywhere!
By Tony Williams from Other on 16 Dec 2025, 17:57