We will see bankruptcies. These are basically bad spreads. The massive increase in fuel has dire consequences.
That’s what worried David Torgerson, general manager of A3-Transport, says.
Yesterday, gasoline prices rose to more than 26 kroner per liter due to the war in Ukraine, and there are no signs of a peak.
When prices are too high, over a third of what the consumer pays directly into the treasury.
The Technical Accounts Committee believes that inflation for 2022 will be 3.3 percent.
Three weeks ago, they thought growth would be 2.6 percent, but they said there was significant uncertainty associated with this.
A price increase means that the margins have been reduced to the absolute minimum. If we get a raise of more than a few kroner, we lose money, says Torgersen.
For A3 transport, 10 percent of the total expenditure is fuel. Recently, fuel has increased by 33 percent, and if this continues, he is concerned about the transportation industry.
Now he hopes the state will quickly come up with measures that can reduce fuel taxes.
We don’t have many weeks before something happens, he asserts.
No promises from Vedum
Finance Minister Trygiv Slagsvold Widom is open to taking action on tax policy if prices continue to rise.
– Prices are too high. We got a raise we never thought possible, Vidom says.
When he comes any rest he can’t answer.
– Now we are in the middle of crisis and war. There is a lot going on at the same time. We are looking at various steps we can take to reduce costs to people.
As of now, these fees won’t be discussed until the state’s revised budget in May.
But if high prices continue, the finance minister will look at the chances of taking any action before then.
NAF customers despair
Also NAF Demands tax cuts to help raise gasoline and diesel prices.
– Now authorities must take action before the price race gets completely out of control, says Camila Resty, director of communications at NAF.
They get a lot Inquiries from NAF members affected by fuel price hikes.
– Many are upset and think the state levies should now be lowered to ease price pressure, he says Camila Resty, Head of Communications at NAF.
Resty believes that it is fair and reasonable for the state to compensate for the unreasonable price effects, as the situation is now.
– The state receives significant revenues from oil and gas, at the same time the level of tax on fuel is very high. We cannot sit idly by and watch what is happening now. She says the government should help families.
FRP will remove all fees
The Progress Party wants to abolish all taxes on petrol and diesel.
Money is pouring into the state, and many are provoked because we produce oil in buckets and buckets, and earn large sums, while people are whipped at the pumps, says party leader Sylvie Lestaug.
In a representative motion to the Norwegian Parliament, the FRP proposes removing the CO₂ tax and road use tax on petrol and diesel. Then a liter of petrol will be 8.5 kroner, and a diesel 7 kroner cheaper, according to Listhaug.
If these accelerated prices continue, we should also look at value-added tax.
The measure will be applied to the exceptional period we are living in now, when petrol and diesel prices have exceeded 25 NOK per liter. But it will lead to lost revenue for the state.
After that you won’t get about 20 billion kroner, but you’ll get into buckets and shovels at the high oil price, Listog says.