Fuel prices continue to surge in Cyprus amid energy cost concerns

Fuel prices in Cyprus have experienced a sharp upward trend over the past two months, placing significant strain on households and businesses. According to data from the Consumer Protection Service, as of October 2, 2026, the average price for diesel stands at €2.02 per liter, while 95-octane unleaded gasoline averages €1.74 and heating oil is at €1.66 per liter. Representatives from the Petrol Station Owners Association, including Christodoulos Christodoulou, have warned that prices have not yet peaked and expect further increases of 2 to 3 cents per liter in the coming week, citing international oil price volatility and supply costs from Greek refineries.

The energy crisis is further exacerbated by the country's heavy reliance on diesel for electricity generation, which accounts for 75% of production. Experts like Charles Ellinas warn that continued high fuel costs will directly inflate electricity bills, which already ranked among the most expensive in Europe in September. Meanwhile, the government's intervention to reduce consumption tax on heating oil by 5.3 cents per liter has been criticized as insufficient by consumer advocates, who argue the relief is negligible compared to the total price hikes since the start of the conflict in March.

Looking ahead, the outlook for energy prices remains bleak, with no immediate signs of stabilization. Parliament is also reviewing potential surcharges for consumers to prevent power outages, as authorities struggle with structural deficiencies in the energy market and the delayed introduction of natural gas.