Italy: Meloni government extends fuel decree, excise duty cuts to 1 May
"It will cost 500 million euros," Economy Minister Giorgetti announced after Friday morning's cabinet meeting. The 25-cent discount due to end on 7 April, with tax credits extended to agricultural firms.
ByMarco Fazzini
Published on 29 / 09 / 2026 - 11: 00 GMT + 2
The Council of Ministers has given a green light to the new decree on fuel, which extends the cut in excise duties until 1 May. This was announced this Friday morning, at the end of the Council of Ministers, the Italian Minister of Economy, Giancarlo Giorgetti.
The first measure, adopted on 18 March, was to expire on 7 April.
At a press conference, Giorgetti also announced "a specific intervention for the farms," to which the Extends tax credit by 20%adopted for fishing.
The developments also affect exports and in particular Simest, the company of the CDP Group dedicated to the internationalization of Italian companies.
"The cost of this measure, has added Giorgetti, is of about 500 million euros. Of these, 200 million have self-coverage resulting from the increase in VAT collection, while 300 million are resources that have been substantially recovered from the ETS CO2 items that have not yet been used, taking care not to touch those originally intended for the relief of large energy consumers. "
With regard to concerns about the prolongation of the war in the Middle East, the Minister said that, if the situation does not change, the European Union (EU)'s repeal of deficit limits and the 3% threshold "will be inevitable." Italy was close to replacing the deficit below 3% of GDP and leaving the EU procedure, with the benefit of more flexibility in spending restrictions.
What does the fuel decree provide for?
The measure adopted on Friday extends the discount on the suppliers introduced by the Government on 18 March. The Italians already pay 25 cents less per litre of diesel and petrolwhile the reduction is of 12 cents in LPG refueling. The first phase has cost about EUR 528 million.
The decree also includes a 28% tax credit for diesel purchases in favour of road carriers and fishermen.
Since the entry into force of the measure, prices have continued to rise, in line with the rising trend in the price of oil, while tensions and clashes in the Middle East between the United States and Israel against Iran do not appear to refer, and the departure in the crucial Strait of Ormuz, where it transits around 20 per cent of world oil, remains blocked.
According to the follow-up of the Ministry of the Environment, during the past week average prices have located petrol at €1.733 per litre and diesel at €2.032. Compared to the period before the US and Israel attack on Iran, this is 6 cents more per litre for unleaded petrol and 31 cents more for diesel.
Codacons: "The extension is not enough, the discount should have increased"
"The extension of the cut in the actions decided by the Government today is not enough to return fuel prices to acceptable levels." That's what Codacons says.
"As a result of the continuous increases in the supply plants, the price of diesel oil, and despite the reduction in the assets ordered by the Government on 18 March, has returned to the levels prior to the tax measure and, to this day, more than EUR 2.1 per litre in no less than 9 Italian regions, "explains the consumer defence association.
The highest prices are in Bolzano, where the self-service diesel costs €2.134 per litre, followed by Calabria (€2.116 / litre), Friuli Venezia Giulia (€2.113 per litre), Liguria and Lombardy (€2.108 / litre), Apulia and Aosta Valley (€2.104 / litre), Basilicata (€2.102 / litre) and Piedmont (€2.100 / litre).
On the highways, diesel oil today costs 2.137 euros per litre and petrol 1.822 euros per litre, says Codacons, according to which "the effect of the discount on the accesses provided by the government has been completely overturned by the rises in the dispensers. This is why we were waiting today for the Council of Ministers not only to extend the cut in the stocks, but also to increase the tax discount to return the prices of diesel to acceptable levels," he concluded.
