cyprus fuel — cyprus fuel — Fuel prices in Cyprus have started to ease, although the war in the Middle East continues to make any reliable forecast difficult. The Consumer Protection Service and the petrol station owners’ association have noted these changes in the market.
According to Constantinos Karagiorgis, director of the Consumer Protection Service, diesel prices have fallen by approximately 9 cents per litre on average since May 10. This trend is encouraging, but the fluctuating geopolitical landscape complicates predictions.
Interestingly, while diesel has seen a decline, the price of 95 octane petrol has increased by about 5 cents per litre during the same period. Karagiorgis informed the Cyprus News Agency (CNA) that if the downward trend in Platts prices, which refineries use to price fuel, continues, further reductions in both diesel and 95 octane petrol could be anticipated.
However, he cautioned that the current hostilities involving Iran introduce a significant amount of uncertainty into international energy markets. This ongoing conflict and the absence of a final agreement in the region continue to affect international energy prices, leading to fluctuations that directly impact consumers in Cyprus.
“Therefore, reliable estimates cannot be made about the future course of prices, as any development in the geopolitical environment may directly affect the cost of petroleum products,” Karagiorgis explained.
Since May 20, Platts prices have shown a downward trend, which is expected to gradually reflect in retail prices. Nonetheless, Karagiorgis emphasised that the continuation of this trend is not guaranteed. He warned that sharp fluctuations in international energy markets are likely to persist for as long as hostilities continue and a definitive agreement is not reached.
Christodoulos Christodoulou, vice president and spokesperson of the petrol station owners, echoed Karagiorgis’s sentiments. He stated that the association’s earlier predictions of small fuel price reductions have been confirmed. As of Monday, reductions of around 2 cents per litre were recorded in both diesel and petrol. Additional cuts of 2 to 3 cents per litre are expected in the coming days, as new fuel cargoes arrive.
Despite these anticipated reductions, Christodoulou cautioned that consumers may not feel a significant impact. For households and motorists to notice a real difference, price cuts would need to be around 6 to 7 cents per litre and occur repeatedly, similar to the increases seen previously.
On the demand side, Christodoulou reported that consumption remains stable outside Nicosia and Famagusta, although some consumers continue to buy fuel in the occupied areas. Looking ahead, making longer-term predictions remains challenging due to the volatility of international crude oil prices.
Recently, prices have stabilised between $92 and $96 per barrel. However, if they escalate to $100 per barrel, fuel prices in Cyprus would likely rise again. He noted that international crude oil prices are constantly changing and can be influenced by various factors, including statements made by US officials.
