Cabinet Meeting Underway, Examining Decrees on Fuel Prices and Ex-Ilva

The Italian Council of Ministers convened to address pressing economic issues, primarily focusing on fuel prices and the operational status of critical industrial sites. A key agenda item was the approval of a decree extending the excise tax cut on diesel fuel, a measure sources indicate will be prolonged until September 5. This extension is estimated to cost around 130 million euros, reflecting the government's effort to mitigate rising fuel costs for consumers.

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I am strongly against any hypothesis of extra profit, of taxes. When I hear the word taxes, I get hives. A comparison, a contribution is right to be made, as we have done with banks, with insurance companies. There must be an agreed comparison in a difficult moment also by the companies in the sector. But I don't want to hear the word extra profit, which sounds very much like the Soviet Union.

The meeting also tackled urgent measures to ensure the operational continuity of national strategic interest plants. This includes addressing the situation at the former Ilva steelworks, a complex industrial site with significant economic and environmental implications. The decree aims to secure its ongoing operations amidst market volatility and potential operational challenges.

Meanwhile, fuel prices continue their upward trend. According to the Ministry of Enterprises and Made in Italy, as of August 23, the average self-service price for gasoline stood at 2.017 euros per liter, and for diesel at 2.137 euros per liter. Highway prices were slightly higher. These figures highlight the persistent pressure on household budgets, with Confesercenti estimating that the high cost of fuel added 1.8 billion euros to Italians' vacation expenses this summer compared to the previous year.

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In the meantime, we will extend the diesel discount and then we are thinking longer term.

Amidst these developments, discussions around a potential European tax on oil company "extra profits" continue. Deputy Prime Minister and Foreign Minister Antonio Tajani expressed strong opposition to the term "extra profit," likening it to Soviet-era policies, while remaining open to a "concorded comparison" and contribution from the sector, similar to measures taken with banks and insurance companies. Matteo Salvini, leader of the Lega party, confirmed the extension of the diesel discount for "a few days, until September," but indicated a desire for more substantial, long-term solutions, emphasizing the need for funding.

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for some days, until September, I imagine. Then I would like to do something more continuous, something more substantial, and therefore money is needed.