The average fuel price in Spain rose again this week following the latest discount, reversing a downward trend from the previous month that saw five consecutive declines and a climb of up to 5% in some cases, bringing diesel close to 2 euros per liter.
Specifically, the average price per liter of gasoline increased by 2.63% this week to 1.756 euros, marking the highest level since early September, based on data from the European Union Oil Bulletin collected by Europa Press.
Diesel also rebounded, rising 5% from the prior week to reach 1.949 euros per liter, its highest price since mid-July.
Even with this uptick, both fuels remain well below the peaks reached last summer when gasoline topped 2.141 euros and diesel approached 2.1 euros in July.
Gasoline prices also remain below pre-aid levels. The government’s 20-cent-per-liter subsidy, in effect since late March, initially reduced prices to around 1.818 euros per liter, yet diesel stayed higher at about 1.837 euros per liter. The subsidy has broad reach but remains subject to extensions that could affect different sectors and groups.
This week, Nadia Calviño, the First Vice-President of the Government and Minister for Economic Affairs and Digital Transformation, signaled that the fuel bonus could continue through December 31 this year with full population coverage, or be limited to specific sectors if a longer extension is considered.
Gap between diesel and petrol
In another development, the average price gap between diesel and petrol widened for the tenth consecutive week, with diesel prices sitting just over 19 cents higher than petrol this week.
The reported averages include taxes but do not reflect reductions of at least 20 cents per liter since April 1, as higher discounts may apply depending on the oil company and promotions for loyal customers.
With the subsidy in place, the price of a liter of gasoline drops to about 1.556 euros, while diesel sits near 1.749 euros, significantly lower than the levels seen at the end of March before the aid began.
More expensive than a year ago
Compared with the same week last year, gasoline is roughly 5% more expensive, while diesel is almost 29% higher. These figures come as crude oil prices have remained elevated amid geopolitical tensions, with Brent trading above 93 dollars a barrel and U.S. West Texas Intermediate around 86 dollars (as of this week).
The price of fuel is influenced by a mix of factors, including oil supply quotes, global demand, taxes, input costs, and logistics margins. Oil price movements tend to transmit to fuel prices with a lag, rather than instantly.
EU levels
At these levels, unleaded gasoline in Spain remains below the European Union average of about 1.831 euros per liter and below the eurozone average of around 1.884 euros per liter.
Diesel in Spain also sits below the EU average, which stands near 1.970 euros, and the eurozone average, around 2.008 euros per liter.
All figures reflect current taxation and market conditions and are compiled for reference by policymakers and consumers alike. (Source: EU Oil Bulletin, Europa Press reporting; data as reported this week).