Greek PM says EU approval needed to cut fuel consumption tax and boost subsidies

Prime Minister Kyriakos Mitsotakis, currently in the United States for the UN General Assembly and meetings with high-tech firms, confirmed that Greece will not independently reduce the Special Consumption Tax (ΕΦΚ) on fuel unless the European Union authorises extraordinary national measures outside normal budget limits. He emphasized that any tax reduction depends on a Europe-wide decision and called on the EU to stand with citizens.

In the coming days the government will launch a "significant intervention" that will cap heating-oil prices at under €1.75 per litre and raise the heating allowance for households using any energy source, with the largest boost aimed at the colder northern regions. Diesel subsidies will also be extended through October. Mitsotakis pointed to recent upgrades of Greece’s outlook by Moody’s and its credit rating by Scope as proof of the country’s economic advancement, arguing that stronger credibility lowers borrowing costs and attracts investment.