A slow-drive protest and blaring car horns marked the day petrol and diesel prices rose again, with fuel costs hitting record highs across Europe.
Portugal woke up to another rise in fuel prices which, in the case of diesel, reached an all-time high. This time, the price increase, which has been occurring throughout the year, was marked by protests on the country's roads.
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In the morning, drivers staged a mass horn protest on the 25 April Bridge, the crossing that links Lisbon to the city of Almada on the south bank of the Tagus river.
At the same time, further south, a go-slow march towards Galp's refinery in Sines, in the district of Setúbal, was getting under way. The protest, organised via WhatsApp and social media, was still ongoing after lunchtime and had no scheduled end time.
Images on social media showed cars with Portuguese flags on their bonnets, sounding their horns. According to the Lusa news agency, protesters were also carrying placards reading "Enough of rising fuel prices" and "families cannot take any more". The GNR (National Republican Guard) told the agency that between 60 and 100 vehicles took part.
Petrol at highest level since Ukraine invasion
According to projections by theAutomobile Club of Portugal (ACP) (source in Portuguese), diesel rose on Monday by 15 cents (to 2.169 euros per litre) and petrol increased by 12 cents (to 2.142 euros per litre).
These amounts do not take into account the reduction in the Tax on Petroleum Products (ISP), applied by the government on an exceptional basis, which set the increases at 12 cents for diesel and 9 cents for petrol.
This is the highest diesel price ever, according to calculations by Dinheiro Vivo (source in Portuguese). In the case of petrol, it is the highest level since the energy crisis triggered by Russia's invasion of Ukraine in 2022.
Portugal among countries with highest prices
Fuel prices have been rising across Europe throughout the year. In Germany too, the Frankfurter Allgemeine (source in Portuguese) explains that fuel prices have hit a record high, with petrol surpassing the previous record of 2.203 euros per litre, set in March 2022.
But Portugal is among the countries with the highest fuel prices. Thefuel-prices website (source in Portuguese), which aggregates fuel prices in 21 European countries, showed on Monday that Portugal ranks 19th for the most expensive petrol. Only France and Denmark had higher prices. As for diesel, Portugal's position improves to 17th place, ahead of the United Kingdom, Italy, France and Denmark.
The Weekly Oil Prices (source in Portuguese), a weekly report from the European Union covering the bloc's 27 countries, published on Thursday, puts Portugal in 20th place for petrol prices including tax. Of the 27, petrol was most expensive in Denmark and cheapest in Malta. For diesel including tax, Portugal ranked 19th. Denmark was the country with the most expensive diesel in the bloc and Malta the cheapest.
Minister says rises are in line with Europe
At the end of the day, the Portuguese Minister for Environment and Energy, Maria da Graça Carvalho, held a press conference. Maria da Graça Carvalho said that the increase in fuel prices is in line with the rest of Europe, drawing a comparison with France and presenting Spain as an exception.
The minister listed the government's measures to soften the rise in fuel prices, namely the reduction of ISP, the extension of the solidarity gas cylinder scheme and support measures for the agricultural and social sectors. Responding to the secretary-general of the Socialist Party (PS), Maria da Graça Carvalho also said that "the government is not profiting from this fuel crisis".
Previously, the rise in prices had led the minister to request a study from the Energy Services Regulatory Authority (ERSE). But the study, published in mid-August, found "no evidence of operators taking advantage". It also said that no "rockets and feathers" phenomenon was observed, with prices that rise quickly and fall slowly.
"The results therefore do not support the view that price decreases are passed through persistently more slowly or less fully than price increases," the study says.
ERSE also explained the price difference with Spain by pointing to taxation. But it stressed that in Portugal the tax burden has remained constant, "in line with most countries in the European Union and the eurozone".
Hormuz and refining capacity
The rise in fuel prices in Europe has been linked to the conflict in the Middle East and the blockage in the Strait of Hormuz, which has had a disruptive effect on trade routes.
But experts also point to limited refining capacity, even when crude is available. This situation mainly affects diesel.
In terms of taxation, an extraordinary tax on oil companies' profits is now on the table. According to AFP, the ministers of Portugal, Germany, Italy, Austria, Poland and Spain have sent a letter to Ireland's finance minister so that the issue can be discussed at the next meeting of finance ministers. The meeting is scheduled for 18 and 19 September in Ireland, which holds the rotating presidency of the European Union.
