Fuel prices hit 2.20 euros as subsidies planned
Fuel prices in Greece have remained at elevated levels throughout September, with average petrol and diesel prices around 2.20 euros per litre as international oil markets continue to rise amid uncertainty in the Middle East.
Brent crude has reached about 107 dollars per barrel, up 18% during September. Market representatives do not expect prices to fall in the immediate future and warn that further increases remain possible.
The government is expected to announce measures to support consumers on Sept. 30.
The main proposal includes a state subsidy of 10 to 15 cents per litre for diesel, combined with an additional discount of about 5 cents from refineries.
Further discounts for unleaded petrol are also being considered, potentially bringing total support to between 10 and 20 cents per litre.
A second phase is expected to be announced on Oct. 14, ahead of the start of heating oil sales.
The measures are expected to include adjustments to the diesel subsidy, a subsidy at the pump for heating oil and an increase in the heating allowance covering different energy sources.
Refineries are also expected to consider a discount on heating oil.
Electricity prices also rise
Pressure is also building in the electricity market.
Wholesale electricity prices rose 19.3% in September compared with August, reaching 105.92 euros per megawatt-hour.
Energy suppliers are expected to announce new tariffs on Oct. 1, with consumers watching for the impact of higher natural gas prices on household and business electricity costs.
Calls for lower fuel taxes
Fuel market representatives are calling for a reduction in the special consumption tax on fuels, arguing that current prices are putting significant pressure on household budgets and discouraging consumption.
The government’s planned measures are expected to determine how much of the recent increase in international energy costs will ultimately be passed on to consumers.
