State makes 75 cents per litre of fuel

THE PORTUGUESE State makes 75 cents in taxes on each litre of petrol sold, according to data divulged by the Autoridade da Concorrência, the competition authority.

Four Star 95 petrol, which was selling to the public at an average price of 1.279 euros per litre in September 2005, would have cost only 52 cents without government fuel duty. As to diesel, which on average sells for 1.018 euros per litre, the pre-tax price would work out at 53.3 cents per litre with the state adding on a hefty 49 cents in tax.

In the third quarter of 2005, fuel prices – without counting government taxes – rose 24.5 per cent in the case of diesel and 9.7 per cent in the case of petrol, less than the international average.

The combined hike in fuel prices for both diesel and petrol shot up 40 per cent on average, according to the study.