Law proposed to reimburse excise tax for electric companies

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SANTIAGO. -  The House of Deputies will begin processing a legislative law proposal tomorrow to establish a return on the excise tax on diesel fuel, to the benefit of electric companies. 

Minister of Energy Marcelo Tokman indicated the plan today after speaking with Concertación deputies from the ministries of Housing, Mining and Energy concerning the legal initiative and its implications.

Current legislation (Law N 18,502) states that those who use diesel fuel for a purpose other than vehicle use may be completely reimbursed for the excise tax paid on the diesel.

The government’s decision to apply changes to the law stems from the fact that many companies were not able to recuperate funds paid for the excise tax on oil due to the resource’s high production costs as well as the high percentage it represents in variable costs.