The downward trend in fuel prices continues in anticipation of the restoration of navigation in the Strait of Hormuz. The price of Brent crude oil stood below $75 per barrel after tensions between the US and Iran eased, with retail fuel prices in Cyprus following the reduced price.
Current prices of unleaded 95 and diesel remain lower after the government's decision to reduce the excise tax to 8.33 cents per liter. However, the average price of gasoline nationwide is cheaper by 5.5 cents per liter, while diesel is much higher and reaches 23.7 cents per liter.
Possibly, these data led the government yesterday to make the decision to maintain the reduced rate on fuel until the end of the summer.
Specifically, yesterday the Council of Ministers decided to continue the application of the reduced rate of consumption tax on motor fuels for a period of two months, from July 1 to August 31, 2026, totalling €12 million.
Announcing the continuation of the application of a reduced consumption tax rate on motor fuels, the Government Spokesman, Konstantinos Letympiotis, noted that it was taken into account that despite the trend of de-escalation in energy prices observed, they are still at higher levels than normal conditions due to geopolitical developments.
The measure to reduce the consumption tax was implemented last April and was part of a total package of 8 measures, totaling €200 million, in the context of supporting families, workers and businesses and strengthening all of them in this period of increased energy prices as a result of geopolitical developments.
Today, the average price of unleaded 95 reaches €1.538 per liter with the cheapest gas station in Cyprus selling at €1.469 per liter and the most expensive at €1.639. In contrast, the average price of diesel reaches €1.682 per liter. The cheapest gas station sells for €1.585 and the most expensive for €1.807.
In the event that the Council of Ministers did not decide to continue the measure of reduced consumption tax rate, then the average price of unleaded 95 would be today €1.621 and diesel €1.765 per liter.
Of interest is the fluctuation of prices one day before the start of the war against Iran (27/2/2026) until one day before the decision to reduce fuel taxation (3/4/2026). In February, the average price of gasoline was €1.314 and had reached €1.593 per litre before the tax reduction, an increase of 27.9 cents per litre. The average price of diesel was priced at €1.410 per litre in February and reached €1.919 per litre in April, showing an increase of 50.9 cents per litre.
On the contrary, from 3/4/2026 until yesterday, the average price of gasoline is reduced by 5.5 cents per liter and diesel by 23.7 cents per liter.
It is noted that ready-made petroleum gasoline, diesel and heating oil are imported into Cyprus, while the daily Platts Basis Italy index is used for its pricing for each type of fuel, which has its own fluctuation.
Retail prices of petroleum products in Cyprus are influenced by a significant number of factors, such as the import price of the products, the stocks held by petroleum companies at the time of the fuel import, the exchange rate of the dollar against and the taxes imposed by the state.
The fluctuations in the international Platts prices, which determine the trading prices of the main refined consumer products, for 95 octane unleaded petrol, in euros per litre, show a decline in the period February 2026 – June 2026.
The average price of crude oil rose in the last from €0.362 per liter to €0.472 today, i.e. it shows a change of €0.110 within the four months or a percentage change of 30.40%. The price of diesel from €0.499 per liter is sold at €0.727 per liter. It therefore shows a decrease of €0.229 per liter, or a percentage change of 45.81%. The price of 95 gasoline increased from €0.430 per liter last February to €0.616 per liter, i.e., it shows an increase of €0.186 per liter or a percentage change of 43.17%.
