CPN will stay with us for a while. Motyka: Until wholesale fuel prices return to pre-conflict levels

It will be possible to consider ending intervention on the fuel market when wholesale fuel prices return to the levels before the conflict in the Middle East, said the Minister of Energy, Miłosz Motyka, on Wednesday.

The war in the Middle East, after the US and Israel's attack on Iran on February 28, resulted in an increase in global crude oil prices, as well as in the prices of ready-made fuels, which translated into retail prices of these products at stations, including in Poland. Due to rising oil prices and increasing fuel prices at stations, the government announced a temporary “Fuel Prices Lower” (CPN) regulatory package at the end of March. It assumes, among others: a reduction in VAT and excise duty on fuels, as well as maximum fuel prices.

– When we see the situation calm down on the markets, when the wholesale price of diesel and gasoline is lower – around the prices we were dealing with before the outbreak of this conflict – then we will be able to talk about ending these shields – said Motyka on the Third Program of Polish Radio, when asked how long the CPN package will be in force.

He emphasized that for now, regulations introducing maximum prices and tax cuts are necessary. In his opinion, the market outlook is “relatively optimistic” and wholesale prices have already fallen.

– I think that in the coming days – if the situation does not change radically – (…) then (…) there should also be a reduction – said the minister.

Regulation reducing VAT on fuel from 23 to 8 percent. is valid until April 30, and the regulation reducing excise duty – until April 15. Moreover, in accordance with the regulations, the Ministry of Energy publishes an announcement on maximum fuel prices every weekday. The maximum price is valid from the day following its publication in Monitor Polski.

According to the announcement of the Minister of Energy on Wednesday, a liter of unleaded 95 petrol costs a maximum of PLN 6.16, unleaded 98 petrol – PLN 6.70, and diesel oil – PLN 7.41. Compared to the maximum prices applicable on Tuesday, this means an increase in the price of unleaded 95 gasoline, maintaining the same price for unleaded 98 gasoline and a decrease in the price of diesel oil. However, on the first day of maximum fuel prices, i.e. March 31, a liter of unleaded 95 gasoline cost PLN 6.16, unleaded 98 gasoline – PLN 6.76, and diesel oil – PLN 7.60.

On Tuesday, Motyka said that the CPN package will remain in force as long as the difficult situation in the Middle East continues. He expressed hope that it would return to normal soon. He admitted that there is no pressure within the government to abandon the solutions provided for in the package due to the costs to the budget.

On Wednesday, Orlen reduced wholesale fuel prices, including Ekodiesel diesel oil by PLN 167 and unleaded Eurosuper 95 petrol by PLN 79 per cubic meter. (PAP)

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