Ida Ismail
The National Association of Urban Transport and the Association of Urban and Interurban Transport have raised concerns about the increase in fuel prices, warning of emergency measures if institutions do not intervene.
According to a joint letter addressed to institutions, the price of oil has increased significantly in recent times, directly increasing the operating costs of public transport operators.
The increase in fuel prices in the country is not only related to fluctuations in international markets, but also to its internal fiscal structure. According to an analysis by ALTAX, the price of a liter of oil in Albania stands at over 200–201 lekë, with over half consisting of taxes and fiscal obligations. This means that even in conditions of stability in global markets, the price remains high due to the internal fiscal burden, making the public transport sector particularly sensitive to any further increase.
In parallel, experts warn that the increase in prices in international markets, driven by the conflict in the Middle East, is increasing the risk of a new wave of imported inflation in Albania, affecting not only fuel, but also transportation costs and the prices of basic products.
"Around 60–65% of the price of a liter of oil consists of taxes, including excise duty, VAT, carbon tax and turnover tax. This ranks Albania among the countries with the highest tax burden on fuel in Europe," the letter sent to the institutions states.
The head of the National Association of Urban Transport, Kostandin Foni, states that since the start of the war in the Middle East, operators have requested financial support and fiscal relief, but have not yet received a response from the responsible institutions.
"Fuel accounts for about 45% of operating costs, while the increase in bus maintenance prices further aggravates the situation. Measures must be taken, as countries in the region have done. In Kosovo, public transport does not pay a circulation tax and no excise duty is applied. Recently, an increase in subsidies of about 30% was also approved," he says.
Meanwhile, the head of the Urban and Interurban Transport Association, Dashnor Memaj, warns of an immediate reduction in the fleet:
"In the context of an emergency situation, with a significant increase in the price of oil, public transport will reduce the bus fleet by 30% from Monday. This does not come as pressure, but as an economic impossibility. The consequences will be felt by both operators and citizens."
The fleet reduction is expected to bring delays and congestion on urban lines, directly affecting thousands of citizens who depend on public transport every day.
Memaj adds that support for the sector can be achieved through subsidies per liter of oil, as during the war crisis in Ukraine, or through tax cuts:
"The promised 20% reduction in excise duty has no real impact on public transport, as it translates to about 7 lek per liter. The intervention should be stronger and more urgent, as the price of fuel has increased by about 70 lek per liter."
The associations are calling for immediate intervention to ease the fiscal burden on fuel, proposing the review and reduction of the turnover tax, the establishment of a flexible excise mechanism according to the practices of European Union countries, as well as a differentiated fiscal treatment for public transport, considering it as a service of public interest.
In the absence of concrete measures, operators warn that public transport service could deteriorate significantly, jeopardizing the mobility of citizens and the normal functioning of the sector.
Until the publication of this article, there has been no official reaction from the responsible institutions.acqj.al
