ROME, March 30 (Xinhua) -- Italy's service sector faces significant cost increases due to the impact of the ongoing Middle East conflict on global energy markets, a leading business association warned on Monday.
According to Confcommercio, Italy's largest business association, companies in the retail and service sectors could see their electricity bills rise by at least 8.5 percent in March.
In a worst-case scenario, small and medium-sized enterprises could experience an increase of up to 13.9 percent in electricity costs in March compared with the January-February average, the association said.
Gas prices are also expected to surge, with projected increases ranging from 30 percent under a baseline scenario to as much as 43.5 percent in the worst case, according to the association.
Confcommercio called for stronger measures to contain energy price volatility, urging the government to fully implement provisions outlined in a recent energy decree and to adopt further urgent steps to ease the burden on businesses.
"The priority is to support micro and small enterprises by accelerating demand aggregation and simplifying investment in energy efficiency, so as to structurally reduce exposure to price increases," the association said.
In mid-March, Italian authorities introduced a temporary reduction in fuel excise duties as part of a broader package aimed at supporting businesses and households. The measures also include targeted subsidies for vulnerable families and cost-cutting initiatives for companies.
