The Council of the European Union is set to adopt an Implementing Decision authorising Croatia to apply reduced excise duty rates to gas oil and unleaded petrol used as motor fuels, under Article 19 of Directive 2003/96/EC. The decision, scheduled for adoption as an 'A' item on the Council's 8 July 2026 agenda, follows a proposal from the Permanent Representatives Committee and will be published in the Official Journal of the European Union.
The authorisation allows Croatia to temporarily reduce excise duties on these fuels, aiming to support economic competitiveness and address regional price disparities. The measure is expected to benefit Croatian consumers and businesses by lowering fuel costs, but it may reduce tax revenues for the Croatian government and could raise concerns about competitive distortions within the EU single market. The decision is based on a request from Croatia and aligns with the Energy Taxation Directive's flexibility provisions, which permit member states to apply reduced rates under specific conditions.
No prior coverage of this file exists in the last 180 days. The formal adoption by the Council will finalise the process, after which the decision will take effect upon publication.