Excise duty on heating oil will be cut by 6.39 cents a litre, including VAT, from midnight, after parliament unanimously approved a government bill on Thursday.
The reduced rate will stay in place until April 30, 2027.
The measure is intended to ease the burden on households and businesses ahead of winter, amid prolonged geopolitical uncertainty in the Middle East and rising international prices.
It is expected to cost the state 5.2 million euros, according to the House Finance Committee’s report to the plenum.
Finance Minister Makis Keravnos has asked Brussels for a derogation that would allow Cyprus to scrap the tax on heating oil altogether.
