The Council approved in the first reading a bill, which provides a sharp increase in gasoline prices and diesel fuel from July 1, 2024. This will apply to both industrial consumers and individuals at gas stations. Analysts predict that the price of gasoline will increase by at least 1.5 UAH/l, and diesel fuel - by 2.0 UAH/l. This will be the third increase in fuel prices from the beginning of a full -scale invasion.
Since the beginning of the war, fuel taxes have been increased twice. The first time - up to 7% VAT and excise duty at 100 euros per 1 thousand liters. The second time was in July 2023, when excise duties were set in the range of almost 140 to 213 euros and VAT was raised to 20%.
In May 2022, the average cost of fuel was 25 UAH/liter, and now - almost 60 UAH/liter.
"It should not be forgotten that fuel is a component in the price of almost all groups of goods. The social effects of gasoline, diesel and gas will be noticeable, because the end consumer will pay for it," the publication summarizes.
The head of the Secretariat of the Council of Entrepreneurs under the Cabinet of Ministers Andriy Zablovsky noted that increasing excise duty on gasoline and diesel in the short term will have a positive effect for the budget, ensuring an increase in revenues. However, in the long run, it can lead to an increase in the volume of the shadow market and "body" fuel, which will reduce revenues.
