Fuels: Prices in Greece on the rise again

In almost 10 days, unleaded gasoline increased by 0.029 euros per liter, while diesel for the same period increased by 0.016 euros per liter.

According to the Liquid Fuel Price Observatory, the average nationwide price of unleaded on May 28 climbed to 1.857 euros per liter when on the 17th of the month it was 1.828 euros per liter. Diesel had an average price yesterday at 1.555 euros per liter and nine days ago it was at 1.539 euros per liter.

Increases in fuel prices

These increases, according to market factors, are attributed to two reasons:

1. International market. The first has to do with the recovery of international prices of crude oil and other commodity products. Although Greek refineries do not price based on Brent oil, it is nevertheless a reference point and for this reason we choose to examine its course. On May 24, it exceeded 78 dollars a barrel ($78.36). When on May 16 it was at $74.91 per barrel.

2. Tourist season. The second reason has to do with tourist traffic. As we get closer to summer and the tourist arrivals will rise, there will be more road movements, so the demand will also increase. According to market factors, motor fuel prices will rise.

There had been a period of reductions in liquid fuel prices. On April 17, the average price of unleaded gasoline was at 1.948 euros per liter and diesel at 1.655 euros per liter. By May 17, i.e. for one month, the market was in a downward trend. Unleaded gasoline plunged by 0.12 euros per liter and diesel by 0.116 euros per liter.

The increases that have begun to manifest have not gnawed away at the benefit of the reductions of the aforementioned time period. Also, the current prices remain significantly lower compared to last year’s period, when the prices of unleaded gasoline were consistently above 2 euros per liter. Estimates of whether the increases will continue to the extent that the 30-day benefit dissipates are uncertain, with analysts seeing international price fluctuations as well as the overall state of the international market as highly volatile.