Competition in the fuel retail market is picking up, with price wars, often based on local competition, arriving as coronavirus restrictions fall away, ERR’s online news in Estonian reports.
Tarmo Kärsna, board member at fuel retailers Alexela, says prices are being influenced by fierce competition in Tallinn and other higher population-dense areas.
Kärsna said: “In some cases there are fewer customers, in others, a move towards a competitor. In others still, within a couple of months, someone will have opened a new filling station and lowered prices, raising awareness in the surrounding area, with a view to people embracing it. In this way an open market, so to speak, arrives.”
This week, a liter of 95 gasoline ranges from around €1.374 per liter to €1.399 per liter at pump, ERR reports.
This follows gradual price rises after the low of 2020, when falling – at one point negative – world oil prices in the early part of the year, together with cuts in diesel excise duties, were superseded by the arrival of the coronavirus pandemic.
Last summer saw diesel fall to below the one-euro-a-liter mark, while gasoline prices have risen, aside from price promotions around the Christmas and New Year’s break.
Read more: ERR.EE