Prices at pump expected to drop in coming days

Retail fuel prices at the pump have slightly eased off over the past couple of days, while further reductions might be on the way over the coming fortnight, the petrol station owners spokesman predicted on Tuesday. Speaking to Politis radio, Christodoulos Christodoulou said the price of Unleaded 95 and Unleaded 98 petrol has seen a small drop across petrol stations. Petrol now averages at €1.67 a litre – down about two cents compared to previous days. Heating fuel sold for €1.58 on average. Diesel, however, was still stuck at €1.99. “These reductions don’t really help consumers, they’re too small. But we anticipate more reductions in the coming days,” Christodoulou said. Brent crude traded at $90 a barrel on Tuesday, its lowest level since late August, extending a 5.9 per cent decline on Monday. According to Christodoulou, fluctuations in global oil prices do not immediately translate into retail price drops in the Cypriot market. Shipments usually arrive twice a month – so it takes about two weeks for crude price changes to affect retail rates. On consumers’ spending habits, Christodoulou said many choose to delay buying heating oil, hoping that prices will back down. They can hold off filling the tank since temperatures are still relatively mild. At the pump, motorists tend to spend more during the first half of the month, when they still have money in their pocket. “Up until the middle of the month, people might spend €30 to €40. But then, for the rest of the month, purchases drop to €10 to €20.” And filling up the car tank has become extremely rare. Responding to the public’s complaints about high prices, Christodoulou said petrol stations are the “last link” in the fuel supply chain, and have no say on prices or taxes. The majority of stations earn a commission of about 5 to 5.5 cents a litre. The spokesman also supported a proposal in parliament making it mandatory for petrol stations to issue receipts detailing all the taxes and duties. The legislative proposal, which apparently has strong backing from among the parties, is expected to go to the House plenum soon.