Lawmakers have proposed to prolong the reduction in excise duty on petrol of EUR 50 per tonne and on diesel fuel by EUR 20-30 per tonne until December 31, 2011.
A relevant draft law (No. 8731), authored by MP from the Regions Party Iryna Horina, was registered at the Verkhovna Rada on July 1.
According to an explanatory note, the adoption of the bill will stabilize prices for fuel in the wholesale and retail segments of the Ukrainian market of oil products, which in turn, will slow inflation, reducing the transport component in the prime cost of almost all Ukrainian goods.
As reported, on April 7, 2011, the Verkhovna Rada, Ukraine's parliament, supported in general a bill on a temporary reduction in excise duty on petrol and diesel fuel until July 31, 2011.
In keeping with the bill, the reduced quotas will be in effect until July 31, 2011, in order to stabilize the situation on the fuel market.
In particular, the excise duty on petrol will be cut by 27.5%, from EUR 182 per tonne to EUR 132 per tonne. The excise duty on diesel fuel with sulphur content less than 0.2% is to be decreased by 33.3%, from EUR 90 per tonne to EUR 60 per tonne, with 0.035-0.2% sulphur content by 43.5%, from EUR 69 per tonne to EUR 39 per tonne, with 0.005-0.035% sulphur content by 48.4%, from EUR 62 per tonne to EUR 32 per tonne, and with less than 0.005% sulphur content by 47.6%, from EUR 42 per tonne to EUR 22 per tonne.
