Gasoline and diesel fuel rise in price: why gas stations have raised prices

Three objective reasons for the price increase superimposed on each other

In June, gasoline and diesel went up by 80 cents, the gas – 39 cents. The potential to rise in price still, so the gas station will continue to raise prices in August. About why so occurs – it is told in the author’s article on the website Today.

The fall of the hryvnia, the main factor in why the gasoline and fuel oil has risen, experts say. Against the dollar, the Euro and the national currency lost 1-1,5 UAH.

The fact that Ukrainian importers buy fuel for the currency. The importation of petroleum products, the government charges taxes in Euro and converts at the exchange rate of the national Bank. And then the operators income received in UAH converted into euros to buy a new batch of oil. But when the national currency falls, then following the purchase of petroleum products cost for petrol is more expensive because of what they raise prices.

The second reason is the rise in prices of petroleum products at the border (in the countries from which importers buy gasoline and diesel fuel). For traders of fuel rose by 12% over the last month.

“Almost all summer quotations of oil above $ 40 per barrel. If to compare with may, then a rise of about 20%. Accordingly, the price of petroleum products also grew. The response we see in gas stations”, – says Alexander Sirenko, an analyst with the consulting company UPECO.

And the third reason – increased demand. Ukraine’s fuel consumption rose at the expense of the agricultural sector and domestic tourism – the Ukrainians began to travel more around the country after the weakening quarantine.