The producers of agricultural alcohol were worried, at the end of last week, of a possible increase in taxes for gasoline SP95-E10, the most sold in France.
The government said on Tuesday that the reduced tariff would be maintained next year.
The reduced price of SP95-E10 gasoline, which contains 10% ethanol, will be maintained in 2021, contrary to what was initially foreseen in the draft budget for 2021, the government said in a statement on Tuesday.
Agricultural alcohol producers were alarmed on Friday by this forecast of tax increases for the most sold gasoline in France.
"No change" on taxation
The Ministers of Economy Bruno Le Maire and Public Accounts Olivier Dussopt "specify that there will be no change in the taxation of petrol SP95-E10 and SP95-E5", according to the press release.
The internal consumption tax on energy products (TICPE) is two cents higher for conventional gasoline and E5 than for E10 fuel.
The government will therefore welcome "favorably" "the proposals of parliamentarians aimed at maintaining the current level of taxation of the E10 and E5".
Ethanol, which is produced in France, composes up to 7.5% of SP95 and SP98, and up to 10% of SP95-E10.
SP95-E10 represents around 50% of unleaded gasoline sold in France.
The industry hopes to reach 75% within five years.