FUEL PREMIUM. A discount of 15 cents / liter of gasoline will soon be in force, revealed Jean Castex. How will this aid to counter the rise in fuel prices work? We tell you everything.
[Mis à jour le 15 mars 2022 à 09h16] Still a little patience. Saturday March 12, in an interview with the newspaper Le Parisien, Jean Castex revealed the next outlines of future aid, in the form of a “fuel discount”. The government has given its amount: 15 cents per liter of gasoline, which will reduce the bill at the pump by around 9 euros on a full 60 liters. This boost, valid each time you go to the gas station, will come into effect on April 1st. Here is what we already know in a few points as well as all the details below:
- This discount measure of 15 centimes/litre of fuel will be valid on all “raw” fuels, with the exception of E85 bio-ethanol at the already low price. This discount will apply “on all fuels including crude”, indeed detailed the Prime Minister. If you drive on diesel with your diesel vehicle, you will therefore be just as concerned as if you drive on unleaded petrol.
- The measure will take effect on April 1, 2022, to give distributors time to organize themselves. It will be valid until July 31.
- The discount will be immediate for the motorist but the price after discount will not be displayed directly at the pump. The discount will be made at the time of payment, whether at an automatic terminal or at a cash desk.
In concrete terms, this reduction will apply when you pay for your refueling at the checkout. Jean Castex explained that this should cost the state 2 billion euros. However, the Prime Minister called on distributors and oil companies to make “an additional gesture” in order to reduce the bill. In addition, the Prime Minister recalled that this discount is in no way a reduction in taxes: “The distributors will apply it and the State will reimburse them.” The reason ? “First, because a law is needed and it takes longer,” replied Jean Castex. Here is a summary of what we already know about this kind of “fuel bonus” which will be applied at the gas pump.
This measure, which will cost the State around 2 billion euros, concerns households as well as businesses and will be “valid on all fuels”, specified the Prime Minister in a interview with Le Parisien newspaper. Thus, you will be able to benefit from the reduction of 15 centimes per liter of gasoline whatever your status: are concerned “farmers, craftsmen, construction, taxis, truck drivers, everyone… Fishermen too”, explained John Castex. Arbitrations are still in progress and the device should be unveiled in more detail on Wednesday March 16 during the presentation of the resilience plan by the government.
According to Jean Castex, the economy at the pump will not be invisible. The Prime Minister gave an example, that of a full tank of 60 liters of fuel, i.e. a tank of a good-sized car (a city car has a tank of 45 to 50 litres) “You save 9 euros” for a full tank of 60 liters, he specified in the columns of Parisian. What to bring the receipt to less than 100 euros for a full? Not so sure if the fuel continues to reach or even exceed 2 euros per litre…
The fuel discount will be in place from April 1, 2022 and for four months, announced Jean Castex, i.e. until July 31, 2022. Jean-Yves Mano, president of the consumer defense association CLCV, told AFP see it as a “concrete response” but regrets that we have to wait until April 1 for its implementation. This waiting time is partly explained by the Prime Minister. According to the latter, “all the technical arbitrations have not yet been made”. It is still a question of determining what adjustments will be necessary for its implementation to be as simple and functional as possible.
The discount will be made at the time of payment, at the cash desk or by credit card at the pump, and will therefore not be immediately visible on the prices displayed, detailed the head of government. Concretely, “you save 9 euros” for a full 60 liters explained the Prime Minister. If the State will then “reimburse” the distributors, Jean Castex called on them, just like the “oil companies”, to make “an additional gesture” themselves. “Discussions” on this point are underway, said Matignon who detected “positive signals”.
Discussions must take place with distributors to set up the system, and in particular to ensure that the discount is immediate and automatic when going to the service station. However, as the government fully finances this discount, all distributors should play the game and thus guarantee you a discount of 15 cents per liter from April 1, 2022.