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Even when the fuel is for free, the Poles will still pay 3 PLN per litre

Author: Polskie Radio
Address: http://www.polskieradio.pl/Cinkciarzpl-nawet-gdyby-benzyna-na-swiecie-byla-za-darmo-to-Polacy-placiliby-3-zllitr
Published: 23.12.2015

The European Brent oil costs currently 0.90 PLN per litre. The basic fuels used in transport are evaluated in the European and American shipyards in limits of 1.0-1.3 PLN per litre. How is it possible that the average price of unleaded petrol and diesel on the Polish petrol stations is still more than 4 PLN? Marcin Lipka, Cinkciarz.pl currency analyst answers this question.

On December 4 the members of the OPEC decided to abolish a specific limit of extraction. From this moment the price of Brent oil depreciated by 13%, and currently it costs slightly more than 36 American dollars (USD) per a barrel (0.90 PLN per litre). This is the lowest level since mid-2014.

Fuel in the world is also reaching its long-term minimums. A tone of unleaded 95 fuel on the ARA market (Amsterdam-Rotterdam-Antwerp) costs currently 345 dollars, which is 1.03 PLN per litre. The situation on the diesel market looks even more interesting. During three weeks its price depreciated by almost 20% and it is evaluated in the range of 337 dollars per tone (1.14 PLN per litre) on the ARA market. The price of the diesel oil (DO) which is also in the American dollars, are at the lowest level since mid-2004.

The price of the DO in PLN is also at all-time low. Excluding December 2008, when cost of diesel was slightly more than 1 PLN for a while, these are the lowest levels since almost 11 years. It is also worth noticing that these are not only the local disturbances in prices. Due to an overproduction of oil and a warm winter on the northern hemisphere, according to the data of the U.S. Energy Information Administration (EIA), last week the price of diesel oil in the American shipyards of the Gulf of Mexico depreciated below 1 dollar per gallon (1.04 PLN per litre).


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