Dear fuels, Ucs: “San Marino renegotiations with Italy to reduce prices”
Reorganize the terms of sale in the territory with Italy, increase the Smac discounts, increase the deductibility on fuel and reorganize the public transport service to make it attractive.
These are the requests made by Consumers Union of San Marino to combat the disproportionate increase in fuels.
UCS reminds that the cost of fuel is composed not only of the net price of crude oil, but also of excise duty or tax special which are predetermined by the Italian State and are an important item in the composition of the final price. Some are known to date back to the Ethiopian War of the 1930s and have never been eliminated since.
In general, the excise duty weighs heavily almost 40% of the final cost of petrol and diesel, a little less on LPG. Also for this reason, according to EnjoyTravel.com, Italy in 2021 was in eighth place for petrol and seventh place for diesel, in the classification of the nations where fuel is more expensive.
But let’s come to San Marino. The fuel trade in San Marino is regulated by the good neighborhood agreement of ’39, according to which “The Government of the Republic of San Marino undertakes that said products sold in its territory at a price not lower than that imposed or charged in Italy in the various stages of distribution (…) “.
The decree n 20 of ’75 then sanctioned that the State of San Marino can collect the revenue from excise duties in their coffers.
Now due to the war between Russia and Ukraine and related sanctions or threats to block supplies, the price of fuel, petrol and diesel, necessarily records a new surge.
“The situation for consumers who use fuel to go to work and move – writes Ucs – risks becoming unsustainable”.
Starting from the premise that “the agreement of ’39 is already undergoing change as regards the notification of traffic restrictions, as declared by the competent secretary”, UCS has made three proposals to the authorities:
- renegotiate sales price agreementsexempting or substantially decreasing the percentage of excise duties and therefore substantially decreasing the purchase price and therefore the sale price to the consumer
- lower the percentage of income received by the state with taxation, for example by increasing the discounts in the Smac for fuels
- changes the DL 2 of 2016 “Types of deductible goods and services”, in order to increase the deduction quota of 750 euros on fuels based on the percentage of price increase.
It was also asked “At what point is the reorganization and reorganization of public transport which, as structured to date, does not provide a proactive service to users. The public transport service has timetables and routes that do not meet the needs of the fruit and are therefore not used “. On this UCS contacted the AASS manager who promised a meeting shortly.
“The moment is certainly difficult and complex – concludes Ucs – at the level but, if we do not intervene quickly or do not make corrections to support global consumers, from” happy degrowth “, a term strongly contested by UCS, we will find ourselves in an unsustainable systemic implosion” .