Fuel tax in 2024: How will the price of gasoline develop this year?

There are high fuel taxes in the Netherlands. The question is: How will the prices for gasoline, diesel and liquid gas develop in 2024?

When Russia decided to invade Ukraine, the price of oil skyrocketed. This led to extremely high fuel costs. At some gas stations a liter of gasoline costs more than 2.50 euros. The government intervened and reduced fuel taxes by 21 percent in April 2022, making gasoline somewhat affordable again.

The fuel tax discount ends

Part of this discount expired last July. The fuel tax rose from 0.65 euros per liter in mid-2023 to just under 0.79 euros per liter. That sounds like an increase, but the government talked about “phasing out a consumption tax cut.”

The balance of the rebate would expire early this month, causing petrol, diesel and LPG prices to rise again. An inflation correction was also planned, which would cause prices to rise even further.

The excise tax on petrol, diesel and LPG will remain the same in 2024

As you may have noticed (or not), nothing came of it. Last September, the House of Representatives agreed not to further increase fuel taxes.

Part of the original discount from April 2022 therefore still applies. As things currently stand, the excise tax on gasoline, diesel and liquid gas will certainly not be increased until January 1, 2025.

Petrol and diesel are significantly cheaper in Germany and Belgium

That doesn’t mean that we Dutch are now cheap. A liter of E10 currently costs around 1.97 euros in the Netherlands, while our southern neighbors only pay 1.62 euros for the same liter. The difference to Germany, where a liter of gasoline costs around 1.72 euros, is slightly smaller.

You currently pay 1.89 euros for a liter of diesel at the Dutch pump. In Belgium it is 0.11 euros cheaper and in Germany it is even 0.20 euros per liter.

Other factors

You’d almost forget it, but the price you pay at the pump depends in part on the unpredictable price of oil. In addition to fuel taxes, there are also refining, storage, transportation and operating costs. An additional VAT of 21 percent will be charged on the total amount.

In any case, unchanged fuel excise taxes in 2024 are a welcome prospect for motorists. The transition to electric driving may have begun, but most people still drive a car with an internal combustion engine. With these eight tips for more economical driving you can save additional fuel costs.