Norway: Temporary reduction in fuel taxes in response to soaring prices

The Norwegian Parliament has adopted an exceptional measure to temporarily reduce taxes on petrol and diesel, in order to mitigate the price increase linked to the war in the Middle East.

This decision, adopted urgently, follows a proposal from the opposition Conservative party, which helped to speed up the usually longer legislative process.

The tax cut will be applied from April 1st to September 1st, in a context of high volatility in the oil markets.

According to Finance Minister Jens Stoltenberg, this measure will represent a shortfall of at least 3,3 billion Norwegian kroner for the state.

In parallel, several CO2-related tax reductions have also been voted on, which further increases the overall cost of the scheme.

The minority Labour government had initially opposed a swift adoption, preferring a traditional committee review.

But the Centre Party, whose support was crucial, chose to back any measure aimed at reducing taxes for consumers.

This decision illustrates the growing pressure on European governments in the face of rising energy prices.

It also highlights the dilemma between supporting purchasing power and climate objectives.

Norway, a major oil producer, is thus forced to adjust its fiscal policy to cope with a global energy crisis.