(de-news.net) – Fuel industry representatives expect planned mineral oil tax cuts to be passed on to consumers, though final pricing remains subject to global market volatility. Recent data show German fuel prices falling notably for the first time since the Iranian crisis began, while remaining above pre-crisis levels. A proposed coalition Energy Emergency Program could further reduce fuel taxes temporarily, potentially influencing prices from early May onward.
The proposed reduction in mineral oil taxes is widely expected to be passed through to end consumers at service stations, according to the industry association Fuels and Energy, although the degree and timing of such pass-through remains conditioned by broader pricing dynamics. In indirect remarks made on Deutschlandfunk, its chief executive Küchen characterized the transmission of tax relief into retail fuel prices as highly plausible, while simultaneously emphasizing that final price formation cannot be understood as mechanically determined, given the continued influence of multiple intervening market variables. He further stressed that, in light of sustained global volatility, price movements beginning in early May remain difficult to forecast with any precision.
At the same time, the association rejected allegations that major oil companies were capitalizing on the economic effects of the Iranian crisis, arguing instead that profit generation must be understood as a structural requirement within an inherently highly volatile and risk-exposed sector. Complementing this industry perspective, a study commissioned by Greenpeace reported that German oil corporations recorded an increase in profits of slightly more than one third during the recent ceasefire period, suggesting a pronounced improvement in financial outcomes under temporarily stabilized geopolitical conditions.
Super and diesel prices down
In parallel, and for the first time since the onset of the Iranian crisis, fuel prices in Germany have registered a marked decline one week after the beginning of the truce. According to figures provided by the ADAC, the national average price of diesel on Tuesday stood at 2.286 euros per liter, representing a reduction of 16.1 cents compared with the previous week. Super E10 similarly declined, falling by 8.1 cents to 2.107 euros per liter. Taken together, these movements indicate that prices in both fuel categories have broadly returned to levels observed approximately two weeks earlier, although they continue to remain significantly elevated relative to the pre-crisis baseline, underscoring the persistence of earlier price shocks despite recent easing.
Attention is now increasingly directed toward the anticipated effects of recent decisions taken by the coalition committee over the weekend. The governing parties are currently developing an Energy Emergency Program designed to provide temporary relief through a reduction in energy taxes on both gasoline and diesel of approximately 17 cents per liter (gross), intended to apply for a limited period of two months. Subject to the progression and completion of the legislative process, implementation could occur as early as May 1, thereby introducing a potentially immediate additional factor into already volatile fuel price dynamics.
Audio: TTSFree