Nicosia, Cyprus. The Cyprus consumers association urged the government on Monday to reinstate fuel subsidies, warning that fuel prices have risen sharply since the beginning of March and may continue to climb.
Price increases since March 1
The association said that between March 1 and now, the price of 95-octane petrol increased by 10.7 cents per litre, diesel by 16.7 cents, and heating oil by 13.6 cents. It said further increases are expected this week and possibly next week.
Comparison with 2022 subsidy period
The association noted that current prices are close to or higher than those recorded when the state first introduced a fuel subsidy on March 7, 2022. Petrol currently stands at €1.422 per litre, slightly below the €1.443 recorded at the time.
Diesel is now €1.58 per litre, compared with €1.501 in 2022, while heating oil has reached €1.086, around six cents higher than in 2022.
Household pressure and subsidy estimates
The association said the Consumer Price Index has risen from 107 units in March 2022 to 117 today, adding further pressure on households.
It stated that temporarily reinstating the subsidy would minimally impact public finances, citing the finance minister’s consistent claims that the state’s finances are sound. The association estimated that a renewed subsidy could reduce retail fuel prices by 8.3 cents per litre for petrol and diesel and 6.2 cents per litre for heating oil.
Call to the finance ministry
The association called on the finance ministry to consider the economic pressure faced by consumers and to consider reintroducing the subsidy immediately.
How have rising fuel prices affected your household budget?
