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Italy cuts fuel tax on diesel above €2 and tries to curb price increases.

Diesel prices above €2 per liter prompted the Italian government to take action.
Diesel prices above €2 per liter prompted the Italian government to take action.

Italy announced a reduction in fuel taxes after diesel prices surpassed [prices]. €2 per literThe measure was approved in an emergency decree to contain the impact of rising prices.

Prime Minister Giorgia Meloni stated that the cut will be 25 cents per liter. According to her, the decision aims to alleviate costs for drivers and avoid passing the cost on to product prices.

The government also announced a tax credit for truck drivers and the creation of a mechanism against speculation, which links fuel prices to the real value of oil.

The measure will initially last 20 days, while the government evaluates long-term solutions.

High pressure from international conflict

Fuel prices Prices have risen across Europe since the end of February.The move comes after attacks by the United States and Israel against Iran, which raised the price of oil and generated fears of supply disruption.

Diesel prices have exceeded €2 per liter in countries such as Germany, France, the Netherlands, Finland, and Italy.

Impact of internal changes

In Italy, the increase was intensified by an internal change at the beginning of 2026.

Since January 1st, the tax on diesel has been equalized with that of gasoline. The measure ended decades of cheaper diesel at the pumps.

Before the new decree, diesel cost an average of €2,07 per liter in self-service systems, while gasoline was at €1,84.

Effect of reduction

According to the consumer association CodaconsThe reduction can reach around 30 cents per liter, considering taxes. This represents a saving of approximately €15 on a 50-liter tank.

The anti-speculation mechanism uses part of the increased VAT revenue from fuels to finance tax reductions.

The organization positively assessed the measure, but warned that prices could rise again after the decree ends. It also stated that any drops in oil prices tend to reach consumers slowly.

Other measures

The decree also includes support for the road transport and fishing sectors. It also expands the powers of the national price monitoring body.

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