2023-08-19 06:30:14
The price of fuel continues to rise in the Girona regionss. From the beginning of July until now, gasoline 7.39% more expensive at service stations in the demarcation, while the price of diesel climbed 11.81%.
Specifically, on July 1st, a liter of gasoline cost an average of 1,610 euros at Girona gas stations, now it costs 1,729 euros. This means that filling a 50 liter tank costs 86.45 euros, almost six euros more than seven weeks ago. The liter of diesel has become more expensive by more than 15 cents in this period and filling a 50 liter tank costs 79.95 euros, up to eight euros more than at the beginning of July.
If we look back and compare current prices with those recorded a year ago, filling up the gas tank is more expensive for Girona residents, while diesel is now cheaper. A year ago, the average price of a liter of petrol in the Girona regions was 1.794. Despite being higher than the current one, it should be borne in mind that at that time the fuel discount of 20 cents per liter was operative, which was in force between April 1 and December 31, 2022. For so much 50 liters of petrol cost 79.70 euros, 8.4% less than now. Then the liter of diesel cost 1.818 euros and, despite the bonus, it remained above the current price. In mid-August 2022, filling a 50 liter diesel tank had an average price of 80.90 euros, one euro less than today.
The causes of the increase
As for the causes of the price increase, the sector attributes this to the increase in demand during the summer and the rise in the price of the Brent barrel, the reference type of oil in Europe. The president of the Catalan Association of Service Station Associations (Agrucaes), Albert Campabadal, assures that the increase in fuel prices “is not affecting consumption” during the last few weeks because people are on vacation and already contemplate this expenditure related to mobility.
For his part, the professor of international marketing at the EAE business school, Francesc Rufas, highlights the geopolitical reasons behind the increase and recalls that in May the Organization of Petroleum Exporting Countries (OPEC) announced which would reduce production by 10% with the intention of raising prices in international markets. “The price of oil has important repercussions on fuel prices, and if you add a greater demand during the summer, then you end up generating a significant increase in prices”reports.
Recover the bonus
The president of Agrucaes believes that recovering a discount of 20 cents per liter “would be good” especially for transporters, who would find “more affordable” prices. However, Campabadal prefers that the discount be made through a tax reduction – fuels have VAT at 21% and a special tax that is also levied on them. “Treasury can, because half of the price paid by the user are taxes”, he says. In addition, he points out that the rise in the price of fuel is one of the factors that this summer has caused a rise in the Consumer Price Index (CPI). “The measure would go straight into the vein, meaning that prices would automatically drop”, he adds.
On the other hand, Rufas rules out that bringing back the bonus is a good move and recalls that oil companies shot up their profits while the discount was in effect. “These direct subsidies have many traps and are a bit complicated to control, I don’t see them well”, he points out. In relation to the possibility of reducing taxes, the professor explains that in the rest of the European countries fuels are still taxed with higher taxes. “Spain cannot lower fuel taxes because it has a lot of pressure from the EU,” he underlines.
#Gasoline #Girona #weeks