Luxembourg ends discounts on pumps, gags fuel tourism

Luxembourg roads have emptied noticeably in the past few months after being filled door-to-door with fuel pumps near the border

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Luxembourg will expire discounts on fuel at its pumps, Energy Minister Claude Turmes said this week.

“The government will not extend the €7.50 per liter discount on petrol and diesel, or do the same as France,” Tormes said in parliamentary questions.

France has increased fuel discounts to 30 cents per liter from 18 cents earlier this month. ADR’s conservative nationalist leading parliamentarian asked if Turmes, a member of the Green Party, was planning to do the same in the Grand Duchy. .

“The goal is that in the medium term, fewer foreigners will come to Luxembourg to fill up their tanks,” Turmes said.

Europe’s unprecedented surge in electricity prices, which have surged nearly tenfold over the past year, has accelerated inflation and put a strain on businesses and households recovering from the pandemic.

The rise in prices comes as Russia strains gas supplies due to the war in Ukraine and the shutdown of power plants such as France, where nuclear plants lacked sufficient cooling water due to drought.

EU energy ministers will meet next week as the EU prepares to enter the energy market and will intervene in the short term to keep costs down and eventually cut ties between gas and electricity prices. I’m here.

Luxembourg is It subsidized fuel this year as part of an €800 million deal to cushion the effects of inflation on consumers. Inflation reached 7.4% in June, about 54% higher for petrol and 62% higher for diesel than the previous year.

But neighbors did the same, and the Grand Duchy lost its edge as a cheap fuel haven. This threatens to shrink an important source of income for the country. The petrol sector employs about 2,600 people and contributes €2 billion to the state coffers each year from fuel taxes and pumped cigarettes, coffee and spirits..

But in his answer, Mr Tormes told ADR politicians that Luxembourg would cut its carbon footprint by 55% as part of a deal signed between the EU’s 27 member states to combat climate change. It reminded me of what I promised to do.

A new article was published in the Luxembourg Times Mobile app, download here! Get Luxembourg Times delivered to your inbox twice a day.Sign up for our free newsletter here. Luxembourg ends discounts on pumps, gags fuel tourism

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