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‘Discussions underway to keep fuel price down’

Cyprus Mail · 2026-09-06

AI SUMMARY

• What happened: Discussions are ongoing among Cypriot government officials to address rising fuel prices, with decisions expected by September 17. • Why it matters: The measures being considered aim to mitigate the impact of international events on fuel costs, providing relief to consumers amid fluctuating prices. • What to watch next: The outcome of the discussions and potential extensions of tax reductions on fuel will be closely monitored as the September 17 deadline approaches.

**Discussions Underway to Keep Fuel Prices Down in Cyprus**

In response to rising fuel prices, discussions are currently ongoing among government officials in Cyprus about potential measures to mitigate the impact of these increases, which are largely driven by uncontrollable international events. Energy Minister Michalis Damianos addressed the situation on Sunday, emphasizing the need for timely decisions to manage fuel costs effectively.

Damianos highlighted that the government has at its disposal various tools that can help maintain lower fuel prices. He indicated that decisions regarding these measures must be finalized by September 17. The Energy Minister noted that while there was a temporary decline in fuel prices earlier this summer, they have since risen again due to ongoing global circumstances.

The government has already implemented measures aimed at reducing the costs of both electricity and fuel, which are set to remain in effect until the mid-September deadline. Among these measures is a reduction in the fuel consumption tax, which Finance Minister Makis Keravnos announced would be extended for an additional one or two months. This extension is expected to maintain the current reduction, which cuts the excise duty by 8.33 cents per litre, inclusive of VAT, on motor fuels.

Keravnos stated that the extension of the tax reduction would require approval from the cabinet and parliament, with the new measure anticipated to take effect on September 18. He reassured the public that the existing reduction would remain unchanged, providing some relief to consumers amid fluctuating fuel prices.

During his remarks, Damianos acknowledged the volatility of fuel prices, attributing this instability to factors related to the Middle East that are beyond local control. He expressed confidence in the financial stability of the Republic of Cyprus, which he believes allows the government to implement tax reductions and help keep fuel prices manageable for consumers.

Although fuel prices in Cyprus remain relatively high, Damianos pointed out that they are still lower compared to many other European countries. He emphasized the need for collaboration with fuel companies to explore further measures that could help keep prices down, suggesting that there are additional strategies being considered.

As discussions continue, the government remains focused on finding effective solutions to address the challenges posed by rising fuel costs, ensuring that the impact on consumers is minimized as much as possible. The outcome of these discussions will be closely monitored as the September 17 deadline approaches, with many citizens hoping for positive developments that could ease the financial burden of fuel expenses in the coming months.

Source: Cyprus Mail
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