Gas prices will ‘skyrocket’ in Portugal: find out how much and why in Spain it is much cheaper

Gas prices will 'skyrocket' in Portugal: find out how much and why in Spain it is much cheaper

Between 2020 and 2025, the cost of some essential household products soared in Portugal, putting pressure on family budgets and making each purchase harder on the wallet. The most significant increase was recorded in the energy sector which, although not always visible on a daily basis, has a direct impact on winter expenses.

In the last five years alone, according to data from the Energy Services Regulatory Authority (ERSE) cited by Jornal de Notícias, the price of butane and propane bottles has increased by around 36% and 28%, respectively.

Taxes weigh more than the product

The impact on families’ pockets is not just due to market fluctuations. According to the National Association of Fuel Dealers, the continuous increase in the tax burden is mainly responsible for the increase in prices.

The president of the association, João Durão, details that in a bottle sold between 30 and 35 euros, more than 10 euros correspond to taxes, including the Tax on Petroleum Products (ISP) and VAT at a rate of 23%. The ISP alone represents around three euros per bottle and has been growing gradually.

According to the same association, the situation is particularly difficult for families in the interior and for consumers with fewer resources, which is why they advocate that bottled gas be treated as a basic necessity, with a reduction in VAT to 6% and the elimination of ISP.

The difference in relation to Spain further increases the pressure on Portuguese consumers. In the neighboring country, bottled gas is priced and subsidized by the Government. In January, a 12.5 kilo bottle cost 15.46 euros, with prices set by the Spanish authorities.

Furthermore, legal limitations in Portugal restrict the storage of bottles by resellers to 20 units, while in other countries, such as France and Spain, this limit can reach 60.

According to João Durão, this limitation increases logistical costs and prevents reductions in the final price, something that the promised legislation has not yet resolved.

Energy policy and consequences for consumers

The sector also criticizes government incentives to replace gas equipment with electric solutions, considering that they require the exchange of equipment that is still functional and can result in higher bills.

According to Durão, tax increases and legislative changes have often been justified by the Government with impositions from the European Union, something that the association rejects.

On a political level, the PCP has been proposing to tabulate the price of bottled gas, suggesting that each bottle should cost 20 euros.

Deputy Paula Santos told Jornal de Notícias that gas should be considered an essential good and that the rise in prices is not only explained by taxes, also pointing to high profit margins on the part of large economic groups.

Impact on families’ daily lives

Between taxes, storage limits and differences with neighboring countries, bottled gas in Portugal has become an increasingly expensive commodity, with a direct impact on families, especially during the winter months, when the demand for heating and domestic comfort is greater, according to .

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