The Government has announced that a litre of fuel at the pumps will be subsidized by 20 cents from April 1.
The first 15 euros of this reduction will be funded by the Government and the other five euros by the petrol stations.
MEASURES TO REDUCE ELECTRICITY BILLS
Spain and Portugal are now able to fix the price of gas used to produce electricity in an “exceptional and temporary” measure permitted by the EU.
Thus the pricing of electricity will be updated to reflect the low cost of renewable energies, cogeneration and residuals, carrying a 55% reduction in production costs of 1,800 million.
The mechanism to reduce the excess profits of the electricity market, caused by the elevated cost of natural gas in the international markets, will be extended until June 30.
Other regulations to promote and increase the use of renewable energies, the savings of electricity and the guarantee of electricity supplies were approved.
OTHER GENERAL MEASURES
Other measures include a ceiling on the revision of rental contracts of two percent for the next three months.
The “Ingresso Minimo Vital” (similar to the UK Income Support) will be increased by 15% for three months.
The “bono social” on electricity for families on low incomes will be extended to cover an extra 1.9 million homes.
The reductions on IVA (VAT) of 10% and the special electricity tax (0.5%) will be extended until June 30.
There are also packages of measures aimed to alleviate the crisis for businesses and transport companies.
Editors Note:
As soon as the direct implications of all these measures are clarified Nexonr will update our readers.
