Towards a tax on oil superprofits? Government response

Asked about the recommendations made by the Competition Council in its latest opinion on the surge in fuel prices on the national market, the spokesman for the Executive, Mustapha Baitas, at the weekly press conference, said that “the government is already looking at some recommendations, including the taxation of oil superprofits that conforms to the ideas of the government in terms of supporting the purchasing power of citizens.

“The recommendations made by the Council are not new. We are working on them. They also emanate from the last tax conference,” said the government spokesman.

As a reminder, the Competition Council published on September 26 an opinion on the surge in prices of inputs and raw materials at the global level, and its consequences on the competitive functioning of national markets, including hydrocarbons.

In fact, the body revealed that between 2020 and 2021, fuel distribution companies have increased their margins, in a context marked by the collapse of crude oil prices and quotations of refined products in the world.

The authors of the Council concluded that “the distribution companies would not have taken advantage of the sharp drop in prices on the international market to gain market share through free competition and would have opted to increase their margins.

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