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Consumers warned of further fuel price hikes

Cyprus Mail · 2026-09-07

AI SUMMARY

• What happened: Consumers in Cyprus have been warned of potential further increases in fuel prices, with unleaded petrol and diesel prices already rising since July 13. • Why it matters: The rising fuel costs could significantly impact consumers, prompting government discussions on measures to mitigate these increases, including potential extensions of fuel excise duty reductions. • What to watch next: Upcoming decisions on government measures to address fuel price hikes are expected by September 17, along with anticipated regulatory changes in 2028 that may further affect fuel prices.

**Consumers Warned of Further Fuel Price Hikes in Cyprus**

In a recent statement, Constantinos Karagiorgis, the director of the Consumer Protection Service, has alerted consumers in Cyprus to the likelihood of further increases in fuel prices unless current market trends shift. Speaking on Monday, Karagiorgis emphasized the potential for additional price hikes, stating, “There is a possibility, if nothing changes, that the next stocks received will come with additional increases. The trends are not positive.”

The warning comes as fuel prices in Cyprus have been on the rise since July 13, with notable increases reported in the prices of unleaded petrol and diesel. Data from the Consumer Protection Service indicates that unleaded petrol has surged by 16 cents per litre, while diesel has seen a more substantial increase of 31.8 cents per litre. Additionally, heating oil prices have risen by 13.7 cents per litre over the past month and a half.

As of August 31, Cyprus ranked third in the European Union for the lowest price of unleaded 95 petrol, trailing only Malta and Bulgaria. The current nationwide average price for unleaded 95 petrol stands at €1.625 per litre, with prices varying between €1.545 and €1.718. Diesel fuel averages €1.884 per litre, with the cheapest price recorded at €1.795 and some stations charging as much as €1.989. Heating oil averages €1.5 per litre, ranging from €1.389 to €1.655.

In response to the rising fuel prices, Energy Minister Michael Damianos announced on Sunday that discussions are ongoing regarding potential measures to mitigate the impact on consumers. Decisions on these measures are expected by September 17. Damianos noted that the government has already implemented initiatives aimed at reducing electricity and fuel costs, which are set to remain in effect until the mid-September deadline.

Finance Minister Makis Keravnos added that the government plans to extend the reduction in fuel excise duty for an additional month or two, with new measures anticipated to take effect on September 18, pending approval from the cabinet and parliament.

Looking ahead, further price increases are anticipated in 2028, as Cyprus prepares to align with European Union regulations that mandate an increase in the use of biofuels in transport. This initiative aims to reduce greenhouse gas emissions by blending biofuels into conventional transport and aviation fuels. The implementation of these regulations is projected to raise diesel prices by approximately 7 cents per litre and petrol prices by about 2.5 cents per litre.

The revised Renewable Energy Directive established by the EU sets binding targets for the share of renewable energy in the transport sector, which includes maritime and aviation. By 2030, EU member states are required to achieve either a 29 percent share of renewable energy in transport or to reduce the greenhouse gas intensity of transport fuels by 14.5 percent.

As consumers brace for potential price hikes, the government’s ongoing discussions and planned measures will be closely monitored to assess their impact on fuel costs in the coming months. The situation remains fluid, and stakeholders are encouraged to stay informed about developments in the energy sector.

Source: Cyprus Mail
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