Fuel prices in the world

For several weeks, we have noticed a continuous increase in fuel prices at petrol stations. We are not alone because this problem is world-wide. There are several indicators for the rising fuel prices, but the current pandemic is the biggest factor.

Why are fuel prices so high?

The price of fuel is influenced by many things – from the costs of extraction, energy and labor, typical for every industry, to the economic situation and the related demand. In March 2020, the global industry slowed to a minimum, when the virus became a real deal and fuel prices dropped drastically. A barrel of oil hit a record low of $60. It was caused by transport restrictions. Currently, the situation is completely opposite – decreasing restrictions allow for the reconstruction of the world economy, and at the same time the whole movement started with a double force to be able to make up for the losses from last year. Oil companies also suffered such losses, as they had to raise prices to even out the balance sheet.

How does the fuel price in Poland compare to the rest of the world?

In our country, the situation is not the worst, because the price of fuel is relatively low compared to the rest, but considering the average salaries of Poles, which are not among the largest in the world, the situation makes our everyday life very complicated. Currently, we are approaching the record limit of PLN 6 per liter of gasoline, which means it is more than 50% more expensive than in March 2020. In countries such as Germany or the Netherlands, we can already observe amounts of PLN 8 to PLN 9 per liter converted into PLN. These differences result mainly from the taxation imposed on fuel, which has also recently been increased in Poland through the fuel surcharge. Currently, these rates, which are moving towards the highest in history, are not only supported by the price of oil.