On Wednesday 8 July 2026, Luxembourg's Chamber of Deputies approved legislation introducing a 15 cents per litre (including VAT) reduction in the price of heating oil and diesel used in the agricultural sector, with the measure set to take effect from Saturday 1 August 2026 until 31 December 2026.
According to Luxembourg’s Ministry of Finance, the legislation forms part of the Resilienzpak 2026 agreed following meetings of the Tripartite Coordination Committee held on 12 May and 2, 3 and 4 June 2026.
The price reduction applies to diesel used exclusively for agricultural, viticultural and horticultural work, as well as in fish farming and forestry, in addition to heating oil.
According to the ministry, the reduction in the price of heating oil will save a household around €150 based on an annual consumption of 2,500 litres. The measure will take the form of financial compensation.
The government said the initiative aims to achieve three objectives: strengthen households' purchasing power; significantly curb inflation; and support Luxembourg's agricultural sector.
The ministry also recalled that a 5 cents per litre (including VAT) reduction on petrol and diesel prices at the pump has been in place since Wednesday 1 July 2026.
Commenting on the measures, Luxembourg's Minister of Finance Gilles Roth said: "The Luxembourg model delivers concrete results, which are rapidly translated into government measures. Thanks to these new initiatives, we are strengthening citizens' purchasing power, supporting our agriculture and reinforcing our social cohesion. This is further encouraging news for our citizens."
