Petrol became the cheapest in 11 years, the price of diesel also fell

The average price of diesel in the Czech Republic has fallen for the first time since the Russian invasion. On Monday, it cost 49.22 crowns per liter, 35 cents less than Sunday. For the third day in a row, gasoline is getting cheaper.

On Monday, its average price fell by 54 cents to 46.54 crowns. This represents the most significant intraday drop in more than 11 years, said Trinity Bank’s chief economist, Lukáš Kovanda.

Russia invaded Ukraine on February 24. The price of diesel has risen steadily since then, and despite Monday’s cheapening, diesel is now about 12.40 crowns a liter more expensive. In comparison, the average price of a liter of petrol has risen by almost nine crowns since the invasion.

However, Kovanda said prices would continue to fall in the coming days. “In the coming week, we can expect petrol prices to fall to an average of 44 to 45 crowns per liter. Diesel will become cheaper in the range of 47 to 48 crowns per liter,” he said.

The main reason for the price drop is that the panic in the oil market is beginning to subside. Kovanda said the drop in prices in the Czech Republic was also due to “social, media, and political pressure on processors, distributors, and filling stations, which has lowered their margins noticeably in recent days.”

Last week, in response to record fuel prices, the government decided to abolish the mandatory blending of bio-components into fuel and abolish the road tax for cars, vans, and trucks up to 12 tonnes.