Gasoline, diesel and cooking gas rise in price with new ICMS rates

Gasoline, diesel and cooking gas rise in price with new ICMS rates
Gasoline, diesel and cooking gas rise in price with new ICMS rates
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Fuel adjustments come into force with new ICMS rates approved by state governments in October. ‘| Photo: Bigstock

The new ICMS rates for gasoline, diesel and cooking gas, approved by state governments in October 2023, come into force this Thursday (1st). The measure will result in an increase in the prices of these products, directly impacting consumers’ pockets.

The ICMS on gasoline will increase by R$0.15 per liter, raising the rate to R$1.37. Considering the price survey by the National Petroleum, Gas and Biofuels Agency (ANP), the average price of gasoline in the country will rise from R$5.56 to R$5.71 per liter.

In the case of diesel, the increase will be R$0.12 per liter, reaching R$1.06. This increase puts the price of S-10 diesel back above R$6 per liter, after a spike at the beginning of the year with the resumption of federal tax collection.

The cooking gas tax rate was set at R$1.41 per kilogram, representing an increase of R$0.16 in relation to the current value. As a result, a 13-kilo cylinder, on average, will go from R$100.98 to R$103.6, making it difficult for the government to achieve its goal of keeping this price below R$100.

This change in ICMS rates is the first after the change in the tax collection model, which is now in reais per liter, no longer as a percentage of the estimated pump price of the products. The intensity of the increase has been criticized by the sector.

Gas distributors claim that in 18 states the gas cylinder tax rate exceeds 18% of the product’s price, exceeding the legal ceiling for taxation on essential items. This increase occurs at a time of falling gasoline prices in the country, reflecting the reduction in anhydrous ethanol prices.

Petrobras, faced with the new tax burden, faces limitations in reducing prices at refineries. The price of oil increased by 6% in the week due to geopolitical instability and signs of economic recovery in the United States.

Infographics Gazeta do Povo[Clique para ampliar]

Petrobras’ new pricing policy, which is not just limited to import parity, aims to consider the internal cost of production and competition with other fuels. However, the company still maintains a significant proximity to international prices.

In the first 28 weeks under the new policy, the average selling price of gasoline by the state-owned company was equivalent to 97% of the import parity calculated by the ANP, while the average price of diesel was equivalent to 92% of that parity.

Infographics Gazeta do Povo[Clique para ampliar]

The article is in Portuguese

Tags: Gasoline diesel cooking gas rise price ICMS rates

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