The 7.5 cent discount on each litre of fuel sold in Luxembourg has only been in effect for a few days, but market prices have already caught up.

The measure is symbolic, but it will soon be drowned out by the price of fuel. Since 13 April, and until the end of July, the government has been giving motorists a discount, saving them 7.5 cents per litre of diesel and petrol.

The discount, which was negotiated during the tripartite meetings, was implemented by reducing the excise duties collected by the state. This means a gain of €3.75 on a 50-litre tank of petrol, regardless of the fuel price.

On 13 April, the day the discount came into effect, the price of diesel per litre fell from €1,718 to €1.643. But on 16 April, three days later, two successive increases brought diesel back to €1.768. It is now at €1.763 and thus higher than before the measure came into effect.

Although the measure acts as a "shock absorber" to soaring prices (without it, a litre of diesel would currently sell for €1.838), its effect is significantly reduced by the volatility of the market.

Worse still, the Idea Foundation asserts that the 7.5 cent discount on fuel "is much less targeted" and "benefits more well-off households on average" because the proportion of their budget devoted to travel is lower. Minister for Mobility François Bausch described the measure as "absurd" during an interview with news website reporter.lu earlier this week.

For the time being, petrol prices are still lower than they were before the measure came into force: €1.699 for SP 95 (€1.707 the day before the discount). The same goes for SP 98: €1.789 today (€1.801 on 12 April). But the question remains: For how long?