North Bohemia – The fall of oil prices on world markets began to materialize in fuel prices in the Czech Republic. Last week, gasoline prices rose to 14 cents, and customers paid around 33.55 crowns per liter. Compared to diesel, the price has only dropped slightly over the past seven days, the price is cheaper with a total of 20 hellers.
"The reason for this is the decline in oil prices, which have gained a long-awaited turnover last week," said economist Lukáš Kovanda. Brent oil is currently sold at around $ 20 a barrel lower than in early October, when it reached $ 86.
Kovanda's share of oil appreciation is US President Donald Trump, who, after sanctions against Iran, has allowed eight countries to import oil there. The shortage of Iranian oil supplies does not occur in such a way because the market is predicted.
On the territory of the Czech Republic, price declines have decreased and delays are usually three weeks. The most striking price should only come.
"Companies benefit from the good economic situation of the population and low unemployment, and they are delaying projections of falling oil prices in fuel prices. However, it is only a matter of time when there is strong competitive pressure between domestic gas stations to reduce margins," Kovanda explained.
Reducing gasoline and diesel fuel must be continued next week. A liter of gasoline must be around twenty cheaper, the price of diesel fuel must go down five to ten parts per liter. The gap between the two prices, which is now the highest since March 2015, will continue to grow.
"The situation where oil is more expensive than gasoline is unusual in the Czech Republic. In 2016 and 2017 it did not happen at all. This was probably the beginning of the heating season because heating oil was used to produce heat and that kerosene fraction was added to diesel to achieve specified quality is more expensive this year than in recent years, "Kovanda added.