The "bonificación" on our petrol and diesel that we have been receiving from the Spanish government for the last few months is scheduled to end on 31 December.
This has amounted to a discount of 20 cents on every litre purchased at the pump. This was a smart move by the government of Pedro Sánchez – it makes Spain possibly the cheapest place to fill up in Europe.
Recently I’ve been paying 1.789€ per litre minus 0.20€, in other words just 1.589€. Today the price has dropped a further two cents a litre. In north Germany where I have family, it’s also 1.789€, but with no discount. In the UK on a recent visit a litre cost typically £1.789 - yes pounds - so that’s about 2.30€. Blimey!
The Spanish government announced yesterday, Thursday 17 November, that it is looking at restricting the discount to certain groups, eg truck drivers, transport companies and families in need.
Under the current system everyone gets the discount, rich or poor, royalty or hoi-polloi. Clearly, there are many who do not need the discount.
Quite how the government will means test this to determine who gets the discount and who not, is not clear.
Interestingly, a friend who works for the UK government, told me that means testing a benefit is more costly than giving it to everybody universally. Mmmm! Which is why all over 60s are entitled to the UK Winter Heating Allowance, even the King. Whether he claims it or not isn’t clear.
© Paul Whitelock
Tags: bonificación, fuel discount, petrol, diesel, Pedro Sánchez, Paul Whitelock, Spanish government, means test