Petrol and Diesel Prices Drop Noticeably in Czechia

Fuel prices in Czechia have fallen noticeably amid a drop in global oil prices. The cheapest petrol right now can be found in the Ústí nad Labem Region, where a litre costs on average CZK 41.01. The cheapest diesel is in the Pardubice Region, selling for an average of CZK 43.68 per litre.

Fuel remains most expensive in Prague, where a litre of petrol costs on average CZK 42.26, and a litre of diesel CZK 44.77.

Oil Prices Fall on Global Markets

North Sea Brent crude dipped below $88 a barrel (CZK 1,848) on Thursday morning, while American light crude West Texas Intermediate (WTI) fell below $82 a barrel (CZK 1,722).

The sharp rise in fuel prices in Czechia began earlier this year after Israel and the United States struck Iran on 28 February, prompting Iran to retaliate against neighbouring countries and US bases in the region. Within a single month, petrol prices in the country jumped from around CZK 33.6 to CZK 41.6 per litre, while diesel rose from CZK 33 to CZK 48.3 per litre. Prices have fluctuated since then.

Oil Demand Is Falling, but the Shortfall Is Growing

The International Energy Agency said on Thursday that it had lowered its forecast for global oil demand, warning that the prolonged conflict in the Middle East and elevated prices are increasingly weighing on consumption.

According to the agency's estimate, global oil supply is set to shrink by 4.3 million barrels per day this year — up from the 3.7 million barrel-per-day shortfall forecast in its July report. Fighting in the Middle East, which has resumed since July, is likely to further deepen the shortage on the global oil market.

One factor curbing further price increases was a sharp jump in US oil inventories last week, according to preliminary data from the American Petroleum Institute.

Around Prague, based on reporting by novinky.cz