With the SCT increase in fuel prices, the signs will change once again. The fixed SCT increase rate on fuel will be determined with the June PPI data to be announced by TÜİK on July 3. Fluctuations in gasoline and diesel prices continue with changes in Brent oil prices and foreign exchange. Gasoline and diesel prices, which have been going in the form of a discount and an increase, are now being subjected to an increase in Special Consumption Tax.
SCT Increase Expectations
By the Presidential Decree on July 16, 2023, fixed special consumption tax (SCT) amounts on fuel were increased by 5 TL each, and these amounts were increased every 6 months in proportion to the increase in the producer price index (PPI). In the January-May period of 2024, the PPI increase was 17.87 percent. With the June PPI data to be announced by TurkStat on July 3, the fixed SCT increase rate on fuel will also be determined.
SCT Increase Calculation
In the first five months of 2024, PPI increased by an average of 3.35 percent monthly. If this average increase occurs in June, the 6-month PPI increase rate will be 21.82 percent. Even if there is an increase in PPI at this rate, the fixed SCT amount will increase by 2.06 TL for gasoline and 1.93 TL for diesel.
Fuel Prices and Calculation Process
While calculating gasoline and diesel prices in Turkey; By adding SCT and EMRA share to the duty-free refinery price, the Refinery sales price is calculated excluding VAT. While calculating the Duty-Free Refinery Price, the daily CIF Mediterranean product prices published in the Mediterranean-Italian market and the daily Dollar exchange rate are followed, and the duty-free refinery ceiling sales price is obtained at a certain price change difference.
