Diesel ÖTV Set at Zero Until End of August

Officials said the special consumption tax (ÖTV) on diesel will be reduced to a zero rate for the rest of August, removing that tax item from retail fuel bills through the month’s end.

The decision follows a government decree published on August 13, 2026. Officials said the measure is limited to August and is not intended as a permanent change.

Decree outlines a staged return from September to

Decree outlines a staged return from September to December Under the published schedule, the zero rate is designed to be reversed in monthly steps beginning in September and running through December 2026. Officials described the plan as a gradual restoration of tax receipts later in the year. The decree sets out a step-up of 3 Turkish lira each month from September through December 2026. In practical terms, September is set at an additional 3 Turkish lira, October adds a further 3 Turkish lira, and the same monthly increase continues until the end of December 2026. Officials said the structure provides a defined calendar Officials said the structure provides a defined calendar for market participants, including the timing and incremental amounts by which the tax component is scheduled to return over the final four months of 2026.

How the temporary zero rate may show up at the pump

Officials said the removal of ÖTV mechanically reduces the tax share embedded in diesel prices, narrowing the component that retailers would normally include in the consumer price. However, the extent of any change in pump prices during August will depend on how the decree is reflected across wholesale and retail pricing over the remainder of the month.

The source material notes that traders and wholesalers may respond by filling storage tanks ahead of September to benefit from the temporarily lower tax base. That behavior, if it occurs, would be consistent with the known timing of the scheduled step-up starting next month.

Market participants and officials are expected to publish updated wholesale price lists and retail circulars by August 31, 2026. That date is expected to provide a clearer view of whether the zero-rate measure translates into lower diesel pump prices nationwide during August.

For consumers and businesses that rely on diesel, the decree’s phased structure sets out when the tax burden is planned to begin rising again and the pace at which it is scheduled to increase through December 2026. Officials said the approach aims to deliver immediate relief at the pump in August while providing a predictable path for the tax component to re-enter fuel bills from September onward.