The price of petrol is set to rise by 8.32 cents per litre and heating fuel by 6.38 cents, with petrol station owners saying they have no choice but to add the additional cost.
The price increases will take effect from midnight on June 30 after the cabinet decided on Wednesday that the reduced rates of tax on motor and heating fuels will be scrapped by the end of the month.
Savvas Procopiou, head of the petrol station owners’ association, told the media on Thursday that the reinstatement of the tax casts a gloomy outlook for the sector.
“The reinstatement of the tax will definitely bring back a negative sentiment, but unfortunately we cannot do anything about it,” he said.
Procopiou added that the increase will hit their pocket, too, saying that their cost of procuring petrol will also go up.
He further said that since every household has a budget for their weekly or monthly fuel purchases then this will lead to a decline in overall litres purchased.
In turn, he said, that will reduce the income for petrol station owners.
On a positive note, Procopiou said that in his view an increase in the price of petrol on the international market is unlikely and that prices in the sector have stabilised.