Fuel prices to be lowered again in Poland following president's decision

The Polish government intends to resume the program of lowering gasoline and diesel prices as early as next week after President Karol Nawrocki signed the law on windfall profits tax for fuel companies.

Polish Minister of Finance and Economy Andrzej Domański stated that the government will adopt the necessary regulation next week for the new launch of the program "Ceny Paliwa Niżej" ("Lower Fuel Prices"). According to him, after that prices at Polish gas stations should decrease.

Preliminarily, the reduction may amount to about one zloty per liter, but final parameters are still being calculated. Domański specified that the government plans to reduce VAT and excise duty on motor fuels.

"I think it will be close to one zloty, but for such calculations we need a little more time," — said the minister.

He also stated that he would like to keep the program at least until the end of 2026.

Head of Polish MFA Radosław Sikorski, after the president's address, also stated that the government, in accordance with Prime Minister Donald Tusk's promise, will try to reduce prices at gas stations as quickly as possible. This was reported on October 1 by Rzeczpospolita.

The possibility to resume the program emerged after President Karol Nawrocki decided to sign the law on windfall profits tax for fuel companies. At the same time, he announced that he would send the document to the Constitutional Tribunal after the law enters into force—as subsequent review.

The law provides for a temporary tax on additional profits of fuel sector companies. In the updated version, it is to be levied on windfall profits earned from March 2026 to March 2027. The government expects to collect over 4 billion zlotys this way and use this money to finance measures to reduce fuel costs.

This is already the authorities' second attempt to introduce such a tax. The first version Nawrocki sent to the Constitutional Tribunal for preliminary review in the summer, causing it not to enter into force. The presidential chancellery then pointed, among other things, to the problem of retroactivity of tax regulations.

The government then prepared a new version of the law and pushed it through parliament again. Prime Minister Donald Tusk had announced in advance that if the president signs it, the program to reduce fuel prices would be restored.

At the same time, the actual size of price reductions at specific gas stations will become clear after the publication of the government regulation. Domański emphasized that final calculations for VAT and excise duty rates are still ongoing.

Based on: Rzeczpospolita, Business Insider Polska, Radio Lublin