Break is over: HoR PSBiH to convene on Tuesday, new discussion on fuel excise tax increase

After annual holidays and a break of almost a month, the House of Representatives of the PSBiH will convene next week, specifically on August 30, reports the Patria News Agency.

At this session, under an expedited procedure, MPs will consider the BiH Council of Ministers' request to consider the Bill on Amendments to the Law on Excise Taxes in Bosnia and Herzegovina, the Bill on Amendments to the Law on the Indirect Taxation System in Bosnia and Herzegovina, and the Bill on Amendments to the Law on Payments to a Single Account and Distribution of Revenue at today's session of the House of Representatives.

We remind you that MPs previously rejected the urgent procedure, and these laws will be considered under an expedited procedure. Therefore, all laws will go through committee stages.

If these laws are adopted and adapted to the requirements of the Council of Ministers, citizens in BiH will pay 0.15 feninga more for fuel.

The BiH Council of Ministers made such a decision on June 29 this year, in order to respect the undertaken contractual obligations and ensure the necessary funds for the regular servicing of loan agreements with the EBRD for the completion of initiated projects related to the construction of road infrastructure in FBiH and RS.

Namely, the agreements financing the construction of road infrastructure include clauses by which BiH committed to increasing excise taxes on petroleum products, which will be a condition for the effectiveness of these loans.

- For this reason, the relevant loan agreements cannot become operational until the obligation is fulfilled. Increasing excise taxes ensures the long-term sustainability of public companies involved in road infrastructure construction and mitigates risks to the budgets of the entity governments - the BiH Council of Ministers stated.

In addition, the Bill on Amendments to the Law on Excise Taxes stipulates the following excise taxes for petroleum products: diesel fuel and other gas oils KM 0.45, kerosene KM 0.30, unleaded gasoline KM 0.50, gasoline KM 0.55, heating oil KM 0.45, and biofuel and bioliquid KM 0.45.