Under the new proposal designed by the Ministry of Finance, environmental protection tax on energy should be cut to the floor level.

Specifically, environmental protection tax on gasoline will be reduced to VND1,000 per liter from the current VND 2,000.

Environment protection tax on jet fuel will be lowered to VND1,000 per liter from the current VND1,500.

Environment protection tax on diesel oil will be cut to VND500 per liter from the current VND1,000.

Environment protection tax on mazut oil and lubricants will be reduced to VND300 per liter from the current VND1,000.

Environment protection tax on grease will be lowered to VND300 from the current VND1,000.

Meanwhile, tax on kerosene remains unchanged at VND300 per liter as it has stood at the floor level.

If approved by the National Assembly Standing Committee, the tax reduction will come into effect from August 1 to the end of 2022.

Nguyen Dinh Cung, former President of the Central Institute for Economic Management (CIEM) was quoted as saying: "Tax cut and tax exemptions to reduce petrol prices now are more urgent and necessary than ever."

The National Assembly and Government, within their competence, need to immediately implement necessary solutions to force the petroleum prices down, ease pressure on inflation so as to ease difficulties for businesses and people, he added.