Nicosia, Cyprus. Cyprus’ Energy Minister Michalis Damianos said fuel prices are “not at a bad level” and that recent increases do not appear to be driven by profiteering, while officials signalled possible small reductions in the near future.
Prices linked to Middle East conflict
Damianos said fuel prices largely depend on developments in the Middle East conflict, and warned that even if the war were to end, prices are unlikely to return to previous levels due to the destruction of key infrastructure in the region.
“The issue is not supply, it’s prices,” he said.
Supply and reserves
Speaking to the Cyprus Mail in March, Damianos said Cyprus faces no immediate risk to fuel supply, as it sources its imports from Israel and Greece and maintains the EU-mandated 90-day reserves.
He also said global energy costs are likely to remain elevated for years due to disruption in production across the Middle East.
Government measures and monitoring
While acknowledging recent increases, Damianos said fuel prices in Cyprus are helped by a government reduction in excise duty aimed at easing the burden on consumers.
“The Consumer Protection Service carries out daily checks so that, wherever any irregularities are observed, we can examine how to address them,” he said, adding that current price rises appear to reflect broader regional conditions rather than profiteering.
Planning and EU-level discussions
Damianos said there is sufficient fuel supply for both summer and winter, though authorities are continuing to plan ahead depending on future developments.
He said the issue will be discussed at Wednesday’s informal meeting of EU energy ministers to be held in Cyprus, in the presence of the European Commissioner for Energy.
“These are matters we must manage, and we are discussing them at European level,” he said, pointing to possible solutions including more efficient energy use to help keep prices down for both consumers and businesses.
Outlook
Damianos reiterated that even if the conflict ends, a rapid return to pre-war fuel prices would be difficult.
How do you expect fuel prices in Cyprus to change if the Middle East conflict continues?