To achieve this, the government urged fuel distributors last week to voluntarily decrease their prices.Continue reading
The miracle is over, fuel price rises are coming, writes Világgazdaság based on a recent report from Holtankoljak. There have been major changes in the two key elements of fuel, the dollar-for-forint exchange rate, and the price of oil.
According to the fuel price monitoring blog, both petrol and diesel prices will rise on the last working day of the week, in contrast to recent trends.
Petrol will cost HUF 4 (1 EUR = 395 HUF) more and diesel HUF 5 more.
Vehicle owners can expect the following average prices at petrol stations:
At the moment, the prices are HUF 590 and HUF 596, and will remain so until midnight on Thursday. Based on Világgazdaság’s experience, the typical price for petrol and diesel is now around HUF 590, mostly in the range of HUF 585-595. Barely two months ago, prices looked very different. However, since mid-April, thanks in part to government action, there has been a massive price cut at domestic petrol stations. On April 17, the average price of 95 petrol was HUF 650 per liter, while the average price of diesel was HUF 647. This means that since then, both petrol and diesel have become around HUF 60-60 cheaper.
Even so, including the recently announced fuel price hikes, the wholesale prices of petrol and diesel have risen by HUF 64 and HUF 35 per liter respectively between January and now, although HUF 41 is due to the mandatory increase in excise duty in January. Apart from this, petrol prices have risen by HUF 23 and diesel by HUF 6. After an increase of around HUF 30-60 per liter, an average 50-liter tank of petrol costs HUF 1,800-3,000 more now than in December last year.
On Tuesday,Világgazdaság pointed out that there are signs of a price rise at Hungarian gas stations. Of course, there is a reason for this: there is no good news on the market from a consumer point of view.
First of all, there has been a massive deterioration in the USD to HUF exchange rate.
On Tuesday, the exchange rate reached HUF 368, a one-and-a-half-month high. Furthermore, oil is again well above USD 80, with Brent oil at USD 82.56.
In other words, the two main determinants of fuel prices, the USD to HUF exchange rate and the price of oil, have both undergone significant changes, and this could be expected to be reflected in the forthcoming fuel price decisions, unless there is a reversal.
Via Világgazdaság; Featured image via Facebook/MOL
