The government postponed the gas, electricity and fuel increases for July

The government postponed the gas, electricity and fuel increases for July
The government postponed the gas, electricity and fuel increases for July

The government has reversed the planned increase in electricity and gas rates for July, while it will not apply adjustments to the fuel tax, which was to be raised by 115%.

The objective is not to overheat the pressure on the cost of living in that month and to take the foot off the accelerator with the application of more costs on households that have suffered a strong loss of purchasing power.

According to reports, the government’s intention is to take into account seasonality, that is, greater consumption in winter.

The decision was made, in principle, only for July rates.

The measure is established for household consumption and, depending on the billing date, most users would pay it in August.

At the beginning of June, the government modified the maximum subsidized consumption limits and bonuses on wholesale prices of electricity and natural gas for N2 (low income) and N3 (medium income) users according to the transition period established by the decree No. 465/24.

The measure marks the beginning of a process to move from a generalized subsidy regime to a targeted one, in which the user can know the cost of kW of electricity and m³ of natural gas, which is identical for everyone.

Likewise, it may determine what assistance the State provides to users according to their ability to pay and that reaches up to a limited consumption limit through the recognition of a lower payment (bonus).

 
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