The government admitted this Wednesday, March 25, in parliament, that it would adjust its response to rising prices “if the situation continues” and rejected that it was profiting from the crisis, after the PCP called for price regulation of some goods.
In a plenary debate requested by the PCP on combating the worsening of prices after the attack by the United States of America on Iran, the Secretary of State for Economy, João Rui Ferreira, guaranteed that the executive will “act whenever necessary”, based “on objective criteria” and in an articulated way “with the European framework”.
“If the situation prolongs, we will be prepared to adjust the response”he assured, without giving a direct response to what the PCP, which requested regulation of the prices of the food basket, gas cylinders and fuels.
The Secretary of State of the Economy Minister’s team, Manuel Castro Almeida, also said that the reductions in the Tax on petroleum and energy products (ISP) “clearly demonstrate that the Government does not profit from the crisis, but rather acts to mitigate the impact on people”.
In response to criticism from the PS of taking measures below those announced in Spain, he highlighted that the Portuguese executive acted before the Spanish Government.
The statement came after socialist deputy Nuno Fazenda accused the executive of not knowing how to deal with crises, be it rising energy prices or storms, and mentioning that, with rising prices, the Government “is not giving anything to anyone”, just giving up on collecting more revenue.
The PS made a counterpoint between the measures announced in Lisbon and Madrid, considering that Spain is giving “a strong response” and accusing the Government of Luís Montenegro of, in opposition, not wanting to hear about a 0% VAT.
The deputy and general secretary of the PCP, Paulo Raimundo, criticized the Government for understanding that it was “more concerned with safeguarding the interests of economic groups than with containing prices” and, considering the measures taken so far to be insufficient, asked for courage to “regulate prices in the food basket” and not just define a 0% VAT, as defended by the PS.
Raimundo also defended immediate measures to combat fuel prices, calling for the price of a gas cylinder to be set at 20 euros and the generalization of “access to regulated electricity and natural gas tariffs”. To support the taking of measures to control prices, he said that “even the Regulatory Entity for the Energy Sector (ERSE) recognizes the negotiation around fuel prices”.
The Secretary of State insisted that Portugal took measures before Spain and recalled that, in the case of the gas cylinder, it increased support for the purchase from 15 to 25 euros.
Chega deputy Rui Afonso criticized the PCP, saying that he was unsure whether he was listening to the Communist Party of 2026 or 1974, and stating that the PCP never wants to lower taxes, but rather determine prices.
IL deputy Mário Amorim Lopes also accused the PCP of wanting to adopt “the usual recipe – importing communism”.
PSD deputy Isaura Morais said that the PSD and CDS-PP Government is concerned about the Portuguese and society as a whole and “did not need adverse situations to start taking measures”, particularly with workers and the most vulnerable.
Luís Testa, from the PS, questioned “what the Government is waiting for to adopt robust aid packages for people and companies” and warned that, without these measures, a “terrible economic disaster” could happen.
Chega’s leader, André Ventura, defended the reduction of VAT on electricity or the exemption from tolls, and accused the PCP of not wanting “more income in people’s hands”, but rather “for the State”.
The PSD’s parliamentary leader, Hugo Soares, accused the PS of having been “always late to problems” when it governed and, in response to Chega, asked what would happen if the Government decided what the party defends, asking who maintained the roads, the SNS, and who paid public servants or pensioners.
For Livre, deputy Patrícia Gonçalves asked the Government to stop “opportunistic increases in profit margins”, especially in fuel and food.
PAN leader Inês Sousa Real asked for zero VAT for the essential basket and JPP deputy Filipe Sousa asked for a “suitable” political response to preserve income and employment.
BE deputy Fabian Figueiredo also defended price pricing, giving France and Belgium as examples of countries where “the State did not resign”.
CDS-PP deputy Paulo Núncio criticized the PCP, saying that “it is proven and known” that price fixing has two consequences, leading to the bankruptcy of companies and the scarcity and shortage of goods. In the case of bottled gas, fixing the price would violate European law, which would be illegal, he warned.
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