Gas bottle is almost 10 euros more expensive in Portugal than in Spain. Do you know why? – Executive Summary
The price of any energy source is one of the main concerns of the Portuguese and their wallets at the end of each month. With the rise in the price of gas, the prices of cylinders are growing all over the world, but is the difference in prices equal in all countries?
According to data released by ANAREC – National Association of Fuel Dealers, to Executive Digest, the best-selling gas bottle in Mainland Portugal is 13kg (butane) and has an average price of €25.
“The price varies and depends on the regions and the associated service, a home delivery for example is more expensive than the price at the point of sale”, explains the association.
Already in Spanish territory, according to Galp Energia data , a 12.5 kg bottle of butane costs 16.92 euros, an 11 kg bottle costs 14.89 euros and a 35 kg bottle costs 74.40 euros.
What is the weight of taxes?
In the total value of the gas cylinder, the Portuguese consumer pays about 25% of taxes in ISP, Co2 (Co2 Fee), CSR (Road Service Contribution when applicable – LPG auto) and VAT.
What is the main difference between Portugal and Spain?
In Spain, bottled gas is subsidized by the Spanish government, which is not the case in Portugal, where its cost is fully borne by the end customer.
“The value chain and the service associated with it are different in Portugal. While in Portugal the customer has a personalized home delivery service or a very close availability of the product, in Spain the customer has to go to the points of sale, which are often very far from their home”, explains ANAREC.
The association also explains that the technical assistance provided by marketing companies that have duly qualified technicians is also one of the differentiating factors of the service often offered free of charge in Portugal, compared to Spain.
And in the case of the GPL?
ANAREC emphasizes that LPG is an alternative energy alternative that is cheaper than electricity for applications such as domestic water heating, space heating and the kitchen.
However, the legislative burden and costs associated with the distribution and marketing of LPG in Portugal are also higher, which naturally also generates more costs than in Spain.
And in the rest of Europe?
ANAREC said that, when comparing the price of a gas bottle in Portugal with any other country in Europe where prices are free and therefore fully assumed by the customer, “we find that we have the lowest prices in Europe”.