Italy will extend all summer fiscal measures aimed at

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The Italian government is preparing a set of additional measures to mitigate the impact of high energy prices, including extending a fuel tax exemption until early October, according to the Italian newspaper Il Messaggero, quoted by Bloomberg.

The package of measures, which is likely to be approved in the second half of July, would amount to about 8 billion euros. The costs would be covered by Italy’s economic and financial performance this year, which was higher than originally estimated.

In total, the new aid would bring Italy’s total spending on reducing the energy crisis to almost 40 billion euros, according to Il Messaggero, which cites several sources working on the bill.

On June 30, the government of Prime Minister Mario Draghi approved measures to support long-term contracts for gas imports, a reduction in the tax on energy bills for households and a loan of 4 billion euros for the energy market operator GSE SpA to accelerate the build-up of stocks in natural gas deposits before the start of the next cold season.

According to Il Messaggero, the package currently being prepared will include:

Extension of the € 0.3 per liter reduction in fuel taxes until the beginning of October, two months after the current expiry date, August 2; . The reduction already expired on 30 June and would be extended for another three months;

On Saturday, the Italian Minister of Ecological Transition, Roberto Cingolani, told the SkyTg24 news channel that Russia had reduced its gas exports to Italy by 15% compared to normal levels. Although Cingolani said he expects prices to rise further, especially given the planned closure for maintenance work on the Nord Stream pipeline, he added that filling up to 90% of gas deposits remains a “feasible” target.

At the same time, on Monday, Mario Draghi’s government is expected to appoint an official whose mission will be to streamline the response to the current severe drought in Italy, which paralyzes agriculture and hydroelectric power production. The prime minister is also expected to meet with his predecessor, Giuseppe Conte, to try to resolve the recent dissensions within the governing coalition, Il Messaggero reports.