The French government has struck a deal with the energy industry to cut fuel prices at the pump by six cents a litre.
The agreement will last for three months and means drivers will save 1.50 euros on every 25 litres.
The cost will be shared between the state and the oil companies and will result in 300m euros in lost tax revenues.
The announcement was made by the French Economy Minister Pierre Moscovici.
“This measure will also give us time to find a more permanent solution which is what the the president and the prime minister want”, said Moscovici.
The reduction was to come into effect within 24 hours of the announcement. It is a result of an election pledge by Francois Hollande to tackle rising fuel costs.
“It’s better than nothing, six cents here, six there, it adds up”, said one woman buying petrol.
The price cut will be reviewed after three months.
Fuel taxes are an important source of revenue for the French government which is struggling to cut its deficit in a stagnating economy.
Afficher Gas prices 28/08/2012 sur une carte plus grande
Petrol prices evolution in the EU and in the Eurozone Source: ec.europa.eu
- 1Berlusconi linked with a shock return to government – in Russia!
- 2French actor Gérard Depardieu ‘a threat to Ukraine national security’
- 3Nasa announces the discovery of an earth-like planet
- 4Bobbi Kristina Brown, Whitney Houston’s daughter, dies
- 5Coach has its roof sheared off in low tunnel near Lille
- 1euronews live TV - News | euronews : the latest international news as video on demand
- 2Russia unveils ‘straight’ flag, internet responds
- 3Seven reasons why Yanis Varoufakis is now a political legend
- 4Greek crisis: ‘Agreement reached’ after marathon talks
- 5Nasa announces the discovery of an earth-like planet
- 6[LIVE UPDATES] Greek debt deadline looms
- 7Is Saudi Arabia outlawing rainbows for being gay?
- 8Pluto: New Horizons space probe provides closest-ever pictures
- 9French actor Gérard Depardieu ‘a threat to Ukraine national security’
- 10Latest News Bulletin
- 11International news | euronews, latest international news
- 12International breaking news | euronews online world breaking news in video
- 13BREAKING: Formal nuclear deal reached with Iran, says diplomat
- 14Greece votes ‘No’ in overwhelming rejection of bailout proposals
- 15Berlusconi linked with a shock return to government – in Russia!
- 16At least 10 dead in explosion in Turkish town close to border with Syria
- 17Greece clinches deal with eurogroup after marathon talks
- 18‘Imposed’ bailout deal must be implemented, says Greek PM
- 19Istanbul Gay pride quashed by riot police, rubber bullets and water cannon
- 20Israel angry as Iran and West talk up nuclear deal
Latest world news
Afghan Taliban leader Mullah Omar ‘is dead’, officials claim
Malik Ishaq: Pakistan Sunni militant chief dies in shootout
Cecil the Lion: two Zimbabweans face court for luring him from protected area
Channel Tunnel: one dies, COBRA meets in London
Syria: counting the humanitarian cost
Wires > News
- 13:05 CET Two Israelis charged in arson attack on Church of Loaves and Fishes
- 12:56 CET Niger strips opposition parliamentary leader of immunity
- 12:54 CET Afghan government investigating reports Mullah Omar is dead -…
- 12:42 CET Romania seizes record heroin haul after four-year hunt
- 12:37 CET Malaysian probe into fund scandal stalls after PM sacks deputy
- 12:20 CET Zimbabwean men in court over killing of Cecil the lion
- 12:18 CET Bahrain sees ‘foreign’ link in attack, Iran denies role
- 12:17 CET Japan shouldn’t cave to foreign pressure on PM war anniversary…