Israel Gas Prices to Drop Briefly Before Potential Surge
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Israeli drivers will see a temporary drop in gasoline prices on November 1st, with 95-octane fuel decreasing to 7.35 shekels per liter. However, this relief is expected to end by November 5th when a temporary tax reduction expires. If not extended by Finance Minister Bezalel Smotrich, prices could surge to 8.35 shekels per liter, costing consumers significantly more.
הידיעה ב-6 שורות · תקציר של baba
- Israeli gasoline prices will drop by 42 agorot on November 1st, reaching 7.35 shekels per liter.
- The price decrease is temporary, with a potential surge expected by November 5th.
- The surge is linked to the expiration of a temporary tax reduction on fuel.
- If the tax break isn't extended, 95-octane gas could rise to 8.35 shekels per liter.
- The temporary tax relief has cost the state treasury nearly 500 million shekels.
- Drivers are advised to compare prices at different gas stations.
Israeli motorists are set to experience a temporary decrease in gasoline prices starting November 1st, but this relief may be short-lived. The Ministry of Energy and Infrastructure announced that the maximum price for 95-octane gasoline will fall by 42 agorot per liter, from 7.77 shekels to 7.35 shekels. This new price applies to self-service stations, with a small additional charge for full-service refueling remaining unchanged.
However, this price reduction is contingent on a temporary tax break that is set to expire on November 5th. If the tax concession is not extended by the Minister of Finance, Bezalel Smotrich, the price of 95-octane gasoline could jump to 8.35 shekels per liter. This would represent a one-shekel increase in just a few days.
The potential price hike is due to the expiration of a temporary reduction in fuel excise tax. The Ministry of Finance had previously extended this tax relief, which amounted to one shekel per liter, to mitigate rising fuel costs for the public. This measure has cost the state treasury nearly half a billion shekels.
The future price of gasoline now hinges on the Finance Minister's decision regarding the extension of the tax break. If the order is not renewed, the maximum fuel price will automatically increase. The Ministry of Energy advises drivers to compare prices at different gas stations, as some may offer fuel below the maximum regulated price.
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