Would fuel in Portugal be cheaper than in Spain if it weren’t for taxes? See the accounts

Homem a pegar na mangueira de combustível rosa. Crédito: Freepik AI

Fuel continues to be one of the most sensitive topics for Portuguese consumers, especially during periods of high prices. With each increase in pumps the same question arises: after all, what explains the difference between prices in Portugal and Spain? And, above all, to what extent taxes play a role in this difference.

The question gained strength after a new rise in the price of diesel and gasoline, which led many drivers to try to fill up before the tables were updated. Even with some mitigation measures announced by the Government, prices rose again, reinforcing the debate about the tax burden applied to fuels.

The most recent data helps clarify the issue and shows that the answer is not as simple as it seems at first glance.

What do tax-free prices show?

According to , the clearest comparison appears in the bulletin “EU-27 Fuel Prices” published by the Energy Services Regulatory Authority for the third quarter of 2025.

According to data cited by the publication, when taxes are removed from the equation, the price of gasoline in Portugal is slightly below that charged in Spain.

ERSE indicates that, in the case of simple 95 gasoline, the average sales price without taxes in Portugal was around 0.9 cents per liter lower than in the neighboring country.

Still, in the European context, Portugal remained among the countries with relatively high prices before taxes. According to the same source, the country ranked fifth among the markets with the highest prices in this indicator.

The difference appears when taxes come into play

The scenario changes when taxes applied to fuels are considered. According to data analyzed by Polígrafo, the Portuguese tax burden is significantly higher than the Spanish one.

According to ERSE, the tax burden on gasoline in Portugal was around 56%, while in Spain it was below this value.

This difference explains why the final price paid by Portuguese consumers ends up being higher.

According to data cited by the publication, the average selling price of gasoline in Portugal, with taxes included, was around 21.3 cents per liter higher than that charged in Spain.

The case of diesel shows a similar trend

The comparison is also repeated in the case of diesel, a fuel widely used in Portugal, mainly in road transport.

As explained by Polígrafo based on data from ERSE, the national average price of diesel without taxes was around 2 cents per liter lower than the Spanish price.

Even so, the final price paid at the pumps ends up being higher in the national territory. The reason is once again related to the tax burden applied to fuel.

According to the same source, the weight of taxes on diesel in Portugal is around 51%, while in Spain it is close to 44%.

As a result, the average selling price of diesel in Portugal was around 15.2 cents per liter higher than that practiced in the neighboring country.

In addition to the comparison with Spain, the data also allows us to understand Portugal’s position in the European context. According to Polígrafo, fuel prices in Portugal are above the European Union average when considering the final amounts paid by consumers.

In the case of gasoline, for example, the country ranked eighth among the Member States with the highest prices.

This positioning reflects not only fiscal factors, but also variables such as logistics, commercial margins and distribution costs. Even so, the data analyzed indicate that the tax burden continues to be one of the most determining elements in explaining the difference between prices charged in Portugal and Spain.

In short, the numbers show that, without taxes, gasoline and diesel in Portugal would be slightly cheaper than in the neighboring country. The difference observed at the pumps is mainly due to the tax burden applied to fuels.

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