The increase in non-road diesel will be offset in 2024 for small construction companies, announces Bercy

The increase of 5.99 cents per liter in a tax on non-road diesel (GNR) planned for this year for the construction sector will be compensated by the State for companies with a maximum of fifteen employees, the ministry announced on Tuesday February 13 economy.

Bercy has published a list of measures favorable to construction, announced by the Minister of the Economy, Bruno Le Maire, “in a context of declining activity in the sector”, notes the ministry. This reimbursement, described as ” A support “, is the flagship measure. It will be paid at the beginning of 2025 for the year 2024, within the limit of 20,000 euros per company, specifies the press release.

The construction and agricultural sector benefit from a reduced excise rate on RNG, an advantage that the government had planned to gradually eliminate between 2024 and 2030, arguing that supporting tax advantages for fossil fuels was contrary to its environmental objectives. Thus, the planned increase was 5.99 cents per liter per year in the construction industry and 2.85 cents in the agricultural sector. At the end of January, the government renounced this increase in the agricultural sector, following the angry movement of farmers.

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The building and public works sector, which is currently going through a bad patch, has asked to benefit from equivalent measures. Last week, construction workers repeatedly blocked oil depots in Brittany.

In its press release, Bercy estimates that the measure announced Tuesday, which should cost the State around 20 million euros, “will provide financial support to small businesses in the sector”.

“A broad consultation with representatives of the sector” planned

The ministry adds that the year 2024 will be “taken advantage of to organize a broad consultation with representatives of the sector” on the measures that will accompany “the gradual extinction trajectory” of the tax advantage on GNR.

The press release cites among these measures “financial support for the sector, the promotion and valorization of biofuels, aid measures for equipment with electrical or fuel-efficient equipment, strengthening of controls on the proper use of applicable reduced rates”.

As soon as the finance bill for 2024 was published in September, Bruno Le Maire announced that the State “wouldn’t put a euro in his pocket” with the increase in GNR, in particular by helping the two sectors concerned to switch to other energy modes.

Bercy finally indicates that the simplification bill for businesses, currently being developed, would provide for a reduction in payment deadlines for public administrations, “which will help improve the cash flow of companies in the sector”.

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The ministry will consider in particular the possibility “to standardize and strengthen the level of moratorium interest rates applied to public bad payers”as well as an automatic application of these default interests, “rather than at the request of the company”. Finally, the government is announcing the holding in the coming weeks of a National Construction and Renovation Council which will address all of these subjects.

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The World with AFP

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