Global Oil Surge Drives Record Fuel Prices Across Europe

Global oil prices have surged toward $110 per barrel, driving fuel costs to record highs across several European nations. The price spike follows a September 11 attack by Houthi rebels on a major east-west oil pipeline in Saudi Arabia, which serves as a critical alternative to the restricted Strait of Hormuz. Additional pressure stems from escalating conflict between the United States and Iran, as well as Ukrainian strikes on Russian refineries.

In Bulgaria, diesel reached a record €1.90 per liter, marking a 54.84% increase year-on-year. While the country faces no national shortage, transportation issues have caused localized delivery difficulties in the north. In Türkiye, diesel prices hit a record high of nearly $2 per liter on September 15, with costs in Istanbul exceeding TL 95 per liter. The Government of Türkiye contributed to these increases by reinstating a special consumption tax and removing diesel from a sliding-scale tax adjustment system.

Meanwhile, the Government of Lithuania is preparing proposals to reduce excise duties to alleviate costs for households and businesses. Diesel prices in Lithuania have exceeded 2 euros per liter since August. Energy Minister Lukas Savickas suggested that an average diesel price of €2.20 for five consecutive days could trigger tax reductions, while Finance Minister Taurimas Valys noted that action would be considered if oil remained above $100 per barrel for five days.