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Prices expected to rise again. Stock photo from Unsplash

Diesel price in Germany could rise to over three euros per liter

In Lower Austria, the threshold for a diesel price of more than three euros per liter was already exceeded in March 2022. Economists fear that diesel prices could rise to over three euros per liter this summer in Germany too.

Published: May 12, 2022, 2:40 pm

    Berlin

    According to Agrarheute.com, ironically, the state fuel discount of 17 cents per liter of diesel and 36 cents per liter of petrol could have a price-driving effect, market observers fear because the state subsidies planned for the June 1 deadline could prevent consumers from refueling towards the end of May.

    Punctually on June 1, many motorists rush to the petrol stations, all at the same time, with the result that the oil companies charge them almost any price they want. If the price level is drastically higher than it is now and consumers get used to extremely high fuel costs, there will be little motivation for suppliers to lower prices.

    Heating oil drives up the price of diesel. The industry service Tecson explained: “Despite the high price level, consumers are anticipating and stocking up on heating oil. And it’s probably not unwise to take those prizes into consideration. Consumers now prefer to have a well-filled heating oil tank in the basement.”

    Of course, this only applies to those homeowners who are well off. Everyone else is at a disadvantage. Gabriele Widmann, a commodities expert at Dekabank, offered less than encouraging assessment to struggling consumers:

    “We will have permanently higher energy prices because cheap energy from Russia is a thing of the past. We will no longer work so closely with Russia – no matter how the conflict is resolved.”

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