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[BUSINESS] · Czechia, Slovakia · 32 sources

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Czechia implements fuel price caps and refinery tax to combat rising costs

The Czech government has announced a series of measures to combat rising fuel prices, driven by geopolitical tensions in the Middle East and Ukraine. Starting October 1, the Ministry of Finance will resume fuel price regulation by setting maximum daily prices for gasoline and diesel based on a three-day wholesale average. Additionally, the government will cap retail profit margins at 2.50 CZK per liter.

To further alleviate costs for consumers, the excise duty on diesel will be reduced to the minimum level permitted by European Union regulations. These combined measures are estimated to cost the state budget approximately 1.1 billion CZK. The government also plans to introduce a temporary tax on refineries to target excess profits.

In Slovakia, Prime Minister Robert Fico has proposed similar interventions to address record fuel costs, including a cap on retail margins set at 0.10 EUR per liter and a 50% reduction in second-class train fares. Slovak opposition parties have criticized these moves as populism, suggesting that direct tax cuts or targeted subsidies for vulnerable sectors would be more effective.

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Alena Schillerová · Andrej Babiš · CCS · Czech Government · Czech Ministry of Finance · Czech Republic · MOL · Ministry of Finance · ORLEN · ORLEN Unipetrol · Robert Fico

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