Fuel Prices to Surge by 52 Agorot Per Liter

The price of gasoline in Israel is set to increase significantly, with a 52 agorot per liter rise for 95-octane fuel effective midnight between Wednesday and Thursday. This marks a new high for regulated fuel prices.

The increase is attributed to a combination of factors, including rising global oil prices, a strengthening U.S. dollar, and the expiration of a tax reduction. The Ministry of Energy and Infrastructure's Fuel and Gas Administration announced the price hike on Tuesday.

The maximum price for a liter of 95-octane unleaded gasoline at self-service stations will reach NIS 8.27, an increase of 52 agorot from the previous month. The surcharge for full service will remain unchanged at 26 agorot per liter.

In Eilat, where VAT is not applied, the maximum price for a liter of 95-octane unleaded gasoline at self-service stations will be NIS 7.01, a rise of 44 agorot. The full-service surcharge in Eilat will be 22 agorot per liter.

Officials explained that the sharp rise is due to global energy market dynamics, specifically higher crude oil costs and the dollar's appreciation. Additionally, a 50 agorot per liter excise tax reduction, implemented as a temporary measure that ends in October, is no longer in effect, contributing to the price jump.