The First Deputy Prime Minister and Economy Minister, Radimir Cacic, said on Monday that even if the government intervened with the price of petroleum products, the living standard of Croatian citizens would still be threatened because the government could not influence the forming of prices of primary energy products on the global market and its influence was limited to some HRK 0.2 per litre.
Even if the government intervened with the fuel prices the living standard of Croatian citizens would still be threatened, Cacic said responding to a reporter's question about the announcement of new price hikes.
The minister said he was familiar with "fantastic" proposals by trade unions that excise taxes amounting to HRK 0.60 for roads and highways, that is a total of HRK 1.2, should be lifted in which case the petrol price would be lower by HRK 1.2. Cacic said in that case loans for roads and highways would be paid off from the state budget and, consequently, the government would have to impose another tax to replace that amount.
In the event of a crisis on the oil and natural gas market, the price of petroleum products is going up not only in Croatia but in the entire Europe, Cacic said.
Given that the price of oil and natural gas influences the production of power to a great extent, the price of power is going up as well.
Cacic is confident that every Croatian citizen understands that and knows that the government cannot influence the forming of energy products prices, or any of the crisis spots in the world which impact the gas prices, such as the Iranian-Israeli-US conflict.
