Fuel prices to jump sharply on Monday amid Iran conflict

Saturday, 21 March 2026AI summary
Fuel prices to jump sharply on Monday amid Iran conflict
Photo: ECO

Drivers in Portugal will face a significant increase at the pumps this Monday, with diesel prices expected to rise by 12 cents per liter and petrol by seven cents. The Automobile Club of Portugal (Automóvel Clube de Portugal or ACP) has criticized the government's tax relief measures as insufficient to offset the global price surge. Travelers should note that the state continues to collect substantial revenue through the fuel tax (Imposto sobre os Produtos Petrolíferos or ISP) despite the current crisis.

Context & Explainers

ACP is the Automóvel Club de Portugal (Automobile Club of Portugal). It is a Portuguese motoring association that publishes fuel-price data and weekly forecasts used by motorists, media and retailers to anticipate petrol and diesel price changes when budgeting for trips or refuelling.

The ISP is Portugal's excise tax on fuels — the Tax on Petroleum and Energy Products (Imposto sobre Produtos Petrolíferos e Energéticos) — charged as a unit rate per litre on petrol, diesel and other fuels. The government sets and can temporarily cut those unit rates; a recent decision to reduce the rate for road diesel on the mainland aims to lower pump prices and reduce transport costs for drivers and businesses, though it also lowers tax revenue.

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