“A step in the right direction”. This way Tico industrialists celebrated approval of the bill that lowered the single tax on liquefied petroleum gas (LP gas), which benefited both the sector and thousands of households that use it for domestic purpose. The project, approved on Monday, allowed the reduction of the single tax on fuels by ¢ 28 per liter this brought with it 11% of the on-site price per liter of this fuel.
The downgrade allows the private sector to improve its ability to compete in markets just as production costs have risen, this includes both fuels and raw materials.
In this way, economic growth and job creation are supported, said Enrique Egloff, President of the Chamber of Industries. The representative also pointed out the benefit of the reduction for lower-income households.
“It represents a step in the right direction to improve the price of a fuel of high industrial and domestic use, and that is also cleaner,” said Egloff. The Tico Chamber of Industries participated in the preparation of this project. The plan was presented in the legislative assembly by the Social Christian deputy Erwen Masís.
The consumption of LP gas corresponds to 38% of that sold in the country and, according to the 2019 national household survey, almost half of low-income households (44%) used it as the main source of energy for cooking.