Fall on global oil market will not make Estonian fuel outlets lower prices

Even though global market oil prices have been in a downward trend over the last week, no major change in fuel prices can be expected in Estonian outlets.

Alexela board member Alan Vaht told ERR that it is too early to assess whether or not the drop in oil prices on the global market will make Estonian sellers lower their prices as well.

He explained that while the oil and fuel markets are related, they are completely different markets in essence. “If we look at the longer period than what has transpired over the last week, then we saw a large increase in fuel prices on the international market at the start of summer,” Vaht said, adding that gasoline prices increased by €0.20 per liter and diesel prices increased by €0.14 per liter.

He noted that this change did not take place in Estonia and that prices remained low due to the level of competition.

Vaht said: “I do not want to speculate on if prices could drop during the next week. It is very difficult to assess what the competition position on the market is going forward and whether someone starts by lowering prices by a few cents.”

He specified that fuel prices will also depend on the oil market going forward, as the prices there have already increased by Friday afternoon. Vaht added that fuel stations are starting to acquire winter diesel fuel, which is €0.3 more expensive than summer fuel.

Read more: ERR.EE

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