Price reductions of up to 3 cents are anticipated in the retail prices of unleaded gasoline and diesel fuel in the coming days, Konstantinos Karagiorgis, the Director of Consumer Protection Service at the Ministry of Energy, Commerce, and Industry, told the Cyprus News Agency (CNA).
“We expect that in the next few days, either within the current week or at the beginning of the following week, there will be a decrease in prices of up to 3 cents,” stated Karagiorgis, expressing optimism that “the declining trend observed in international fuel prices over the past year will persist.”
According to the Director of Consumer Protection Service, “the indications we have for the upcoming period suggest that prices of unleaded gasoline and diesel fuel are likely to decrease by up to three cents, which might offset a portion of the recent price hikes resulting from the reintroduction of relevant fuel taxes.”
Karagiorgis cautioned that the future trajectory of fuel prices remains uncertain, citing volatile factors such as fluctuations in oil production. “This creates a level of unpredictability regarding how the situation will unfold in the coming period,” he explained.
When asked about the source of these indications, Karagiorgis clarified that the Consumer Protection Service closely monitors the purchasing prices of petroleum companies, stating that “these prices are currently on a downward trajectory, albeit with some delay until the shipments arrive and new fuel stocks enter the market.”
Savvas Prokopiou, the President of the Association of Petrol Station Owners, shared his perspective on the matter, stating, “Our forecast suggests that prices should experience a slight temporary decrease, as over the past 15 to 20 days, prices have been declining in international markets.” However, he noted that prices have been showing an upward trend recently.
“If the pattern of the past 15 to 20 days continues, as we have been informed, then we anticipate a reduction of at least 2 to 3 cents,” Prokopiou added. He also emphasised that petrol station owners diligently follow the bulk prices provided to them.
In addition, Karagiorgis highlighted the positive impact of the government’s measure to apply a zero VAT rate on seven essential product categories, implemented on May 5, 2023.
“After the removal of VAT, we have observed that prices have remained at 86% of the reduced levels,” stated Karagiorgis, referencing the findings of a sampling inspection conducted by the Consumer Protection Service on 65 products across nine supermarkets throughout Cyprus.
He further noted, “Supermarkets have not increased the prices of these specific products,” affirming the measure’s effectiveness.
The Director of the Consumer Protection Service stressed that these nine supermarkets were selected due to their significant market share, collectively serving approximately 80% of consumers in Cyprus.
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