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[POLITICS] · Poland · 2 sources

Polish Prime Minister Donald Tusk Announces End of Fuel Price Subsidy Program

Prime Minister Donald Tusk told a press conference in Łomża that the government will terminate the "Ceny Paliwa Niżej" (Fuel Prices Lower) programme this summer. The scheme, introduced in March to shield consumers from fuel‑price spikes caused by the US‑Israel attack on Iran, reduced the VAT on motor fuel from 23 % to 8 % and cut excise duties to the lowest level allowed by the EU.

From 15 June to 30 June the excise‑tax reductions will not be extended; only the VAT cut and a daily maximum price set by the energy minister will remain in force. Tusk said the government had "the cheapest fuel in Europe during the crisis" and noted "good signals" of a possible de‑escalation of the US‑Iran conflict that could stabilise fuel prices.

The termination means Polish motorists will face higher retail fuel prices as the temporary tax relief ends, while the maximum‑price mechanism continues until the VAT reduction expires at the end of June.