Biggest Fuel Price Cuts Announced So Far This Year

A bigger, more noticeable drop in fuel prices than ever before is expected at domestic petrol stations as of today, reports Holtankoljak.hu. The price of 95-octane petrol at some stations may even finally break through a long-unseen psychological threshold.

As the fuel price monitoring blog writes, domestic fuel prices are set to fall significantly from Tuesday. The downward trend of last week continues, as the purchase price of petrol has fallen by 9 forints (0.023 euros), and diesel by 7 forints (0.018 euros) gross. The newly announced fuel price cut also means that if the wholesale discount is passed on to consumers by retailers, and the price of petrol could be below 600 forints at some stations.

Following the changes, the average price of the 95-octane petrol is 598 forints (1.49 euros) per liter, while diesel costs 616 forints (1.64 euros) per liter.

The last time such drop in prices happened was four months ago, last November, Világgazdaság reported. The 9 and 7 forint drop in fuel prices is unprecedented this year, meaning that this year’s biggest price drop is expected at Hungarian petrol stations.

At the beginning of the year, fuel prices rose dramatically in just a few weeks’ time. The data showed then that the price of both types of fuel had increased by approximately 20 forints (0.05 euros) in just over two weeks. However, as Hungary Today reported previously, fuel prices have been on a downward path since the second half of February. This trend could be partly due to the strengthening of the forint.

International developments also play a role in the price change, as OPEC+ announced early last week that the oil cartel will increase production from April. Oil prices immediately started to fall on the news, with the benchmark Brent oil price in Europe falling to below 71 US dollars, the lowest since September last year.

Via Holtankoljak.hu, Világgazdaság; Featured image: Pexels