Leaders of gas protest
Photo: Yaron Brener
Demonstrating against petrol rates
Photo: Ofer Amram

Government reduces gas tax for one month

PM, ministers agree to reduce excise tax imposed on petrol rates for month of August

The excise tax imposed on petrol prices will be reduced for one month, Ynet learned. The decision was made earlier on Sunday in a meeting attended by Prime Minister Benjamin Netanyahu, Finance Minister Yuval Steinitz, National Infrastructure Minister Uzi Landau and Foreign Minister Aviogdor Lieberman.


They have yet to agree on the extent of the cut.


This is the first time in years that the government has reduced tax rates for a period of one month only.

The National Infrastructure Ministry updates petrol rates monthly in accordance with corresponding prices in Europe. Petrol prices were set to rise by 25-30 agorot this month.


It is unclear as of yet whether petrol prices will rise in September. The decision was made after Minister Landau pressured the Treasury into not raising the already high petrol rates.


Ze'ev Grauer, who has been leading the battle to reduce gas costs for the past seven months, was unimpressed.


"This is the same mockery by the prime minister and finance minister who think they can feed the public crumbs.


"We get a discount on a price hike in the midst of a public outcry," Grauer complained. "They need to understand that the struggle is not for several agorot to cover the impending rise, it's about the 60% regular tax rate."


Tani Goldstein, Aviel Magnezi and Ilana Curiel contributed to this report



פרסום ראשון: 07.31.11, 15:32
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