a new European tax will cause prices to soar

Those who wish to keep their vehicle a petrol or diesel for as long as possible they may soon have to face, beyond temporary variations, a significant and persistent increase in the cost of fuel, which could vary 40 to 50 cents per litre. Several experts and politicians have expressed concern about the potential risks associated with the introduction of the new ETS (Emission Trading System), a system that regulates the trading of CO2 emission quotas. This system is scheduled to come into force in 2027 and could have significant implications for the environment and the economy.

In 2027, petrol and diesel prices could skyrocket

The ETS (Emissions Trading System) is essentially a European tax that has previously been imposed on highly polluting industries, such as steel mills and fossil fuel power plants. The updated system, known as Ets 2 and introduced in 2023, will be extended to also include buildings and the transport sector. When the system has been approved, Brussels estimates indicated that the transport tax could cause a maximum increase of 45 euros per tonne of fuel. This increase would translate into an increase in pump prices of 10 cents per liter of petrol and 12 cents per liter of diesel.

However, the initial estimate now appears excessively positive, as recognized by Pieter Liese, one of the main architects of the new regulation, in an interview with Euractiv. A Berlin research institute predicted, in a study published at the end of 2023, that the increase in fuel costs could reach 200 euros per tonne, exceeding the European Union’s initial expectations by more than four times.