Greece: Petrol retail market figures record drop

, SEE Energy News

Although it was expected that fuel sales would rise after the first review of Greek third bailout package, fuel demand continued to decrease and recorded a 5 % drop on average in June.

According to market data, petrol sales recorded a 5 % decrease, while the sales of diesel dropped by 4 %. In May, total volume of sales at petrol stations in Greece decreased by 8 % compared to the same month last year, despite the fact that current fuel prices are some 10 % lower than those in 2015.

The future also seems grim, since it is expected that international crude oil prices will rise in the next few months, which, in additional with expected new taxes, would only further diminish fuel sales in Greece. New taxes on unleaded petrol and diesel will be introduced as of 1 January 2017, while recent VAT hike on fuel from 23 to 24 % already slightly increased fuel prices in Greek market. Currently, taxes represent 69.5 % of final fuel prices and in 2017 this number will rise to 71 %.

Since the beginning of crisis in 2010, fuel sales in Greece have decreased by almost 30 %, while about 2,500 petrol stations have been closed, transmits