Gradual Fuel Price Increases Expected in Cyprus as Oil Prices Surge

Petrol station owners warn that international market developments will likely push retail fuel prices higher in the coming weeks

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Fuel prices in Cyprus are expected to increase gradually over the coming weeks following the sharp rise recorded in global oil prices in recent days, according to Savvas Prokopiou, president of the Pancyprian Association of Petrol Station Owners.

Speaking to the Cyprus News Agency (CNA), Prokopiou said international oil markets have seen a sudden surge in crude prices.

“Until Friday evening, the price of oil was trading at around 93 dollars per barrel. Today it opened at approximately 115 dollars, reached 117 dollars and then eased slightly to about 107 dollars,” he said.

Retail prices expected to rise gradually

According to Prokopiou, the developments are expected to affect the Cypriot fuel market, with price increases gradually passing through to retail prices.

He noted that a first increase of around two cents per litre had already been recorded last week.

“I believe that there will be further increases this week, while over the next two to three weeks we expect gradual price rises,” he said.

Based on past experience, increases in international oil prices typically reach the retail market in successive stages rather than immediately, he added.

Global developments driving prices higher

Prokopiou explained that fuel prices are influenced by multiple factors affecting global markets.

More detailed assessments of price developments, he said, are usually available to fuel import companies as well as the Consumer Protection Service of the ministry of energy, commerce and industry.

He noted that the initial rise in oil prices began amid fears of a potential conflict, followed by further increases in recent days.

On Friday alone, he said, the price of crude oil rose by about 10 dollars per barrel within a single day.

Geopolitical tensions affecting markets

Following developments over the weekend, including attacks targeting oil wells and oil storage facilities, crude oil prices rose sharply again.

Asked whether the increases expected this week would be higher than those seen last week, Prokopiou said that based on past experience they are likely to be larger.

However, he cautioned that it is difficult to predict the exact scale of the increases, particularly during periods of geopolitical tension when market conditions can change rapidly.

He noted that similar volatility was observed in 2022 following the start of the Russia–Ukraine war.

Prokopiou expressed hope that tensions will soon de-escalate so that international energy markets can stabilise.

Source: CNA

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