The Polish government is extending its fuel price control program (“CPN”), with costs reaching approximately 1.1 billion złoty through May 15th.
Fuel Price Control Costs Billions
The cost of lowering fuel excise duties between March 30th and May 15th is estimated at around 1.1 billion złoty, according to a justification published Tuesday for a regulation reducing the excise tax.
The regulation extending the application of lower excise rates on fuels to May 15th was published in the Journal of Laws on Monday. The original regulation was set to expire on April 30th.
Cost to Taxpayers for Cheaper Fuel
The justification published Tuesday on the Government Legislation Center’s website detailed the costs generated for the budget by the excise duty reduction.
Budget Impact of Extension
“The cost to the budget of extending the period of application of the above-mentioned reduced excise duty rates by two weeks, i.e., to May 15, 2026, is approximately 350 million złoty in reduced excise revenue. The total cost of applying the reduced excise duty rates on the above-mentioned motor fuels in the period from March 30, 2026, to May 15, 2026, is approximately 1.100 billion złoty,” the justification stated.
CPN Program: Excise, VAT, and Maximum Prices
The Ministry of Finance reminded in a Monday statement that the extension of the period of validity of lower VAT and excise rates is being implemented as part of the government’s CPN (“Lower Fuel Prices”) program, which lowers fuel prices. The government assumes that these solutions are temporary.
Controls and Penalties for High Fuel Prices
According to regulations, the Ministry of Energy publishes an announcement regarding maximum fuel prices daily on working days. The maximum price applies from the day following its publication in the Polish Monitor. If announced before non-working days and holidays, the rate applies until the next working day, inclusive.
Selling above the maximum price is punishable by a fine of up to 1 million złoty, and the National Tax Administration conducts controls in this regard.
