Fuel prices have long been discussed by drivers. In many countries, they grow as a result of fluctuations in the global crude oil market. In this article, we examine where Europeans in 2021 are paying the most for petrol in Europe.
The price of one litre of Pb95 petrol has grown recently to a significant degree. We suggest the cause of such a high and frequent increase and compare the ratio of the monthly payment to the costs of fuel in 29 European states.
What contributes to the petrol price?
The price of one litre of fuel has several components. The most important ones include:
- The excise tax
- The petrol station margin
- Any extra charges, e.g. VAT
- Fuel charge
Those components constitute more than 50% of the price of one litre of fuel. This means that if it were not for the extra charges resulting from the distribution and sales, Europeans could otherwise potentially pay 50% less for petrol.
Crude oil market and fuel prices
The fluctuations in the crude oil market are important for fuel prices. Recently, crude oil got more expensive and the barrel price was as much as USD 70. This is a significant increase of 80% when compared to October last year.
Where does the difference come from?
The production limitation by OPEC+ contributed to the fluctuation significantly. Also, the economic revival in the United States is important.
How much does fuel cost in Europe?
One of the most expensive states when it comes to buying one litre of petrol is the Netherlands and the Scandinavian countries. It is the least expensive in Slovenia, Bulgaria, and Poland. How much will someone pay for one litre of gas in a given state?
- The Netherlands – EUR 1.83
- Norway – EUR 1.70
- Denmark – EUR 1.68
- Greece – EUR 1.62
- Finland – EUR 1.59
- Italy – EUR 1.57
- Cyprus – EUR 1.15
- Hungary – EUR 1.14
- Romania – EUR 1.11
- Poland – EUR 1.10
- Bulgaria – EUR 1.04
- Slovenia – EUR 1
The average European price of one litre of petrol is EUR 1.37.
How many litres of fuel will Europeans buy with the average income in each country of Europe?
European states differ not only in the prices of fuel, but also in the average value of monthly income for working citizens. We analyzed the average net pay value and the prices of one litre of Pb95 petrol in 29 European countries. Based thereon, we calculated how much fuel a citizen of a given state can buy for the average monthly pay. Here are the results:
|Country||Average net pay in 2020 in EUR||Price of 1 L of fuel in EUR||Amount of fuel (in litres)|
The highest number of litres of petrol for the average monthly pay net can be bought by the residents of Switzerland (3,471 litres). Also, Denmark (1,817 litres) and Ireland (1,782 litres) score high.
Fuel type and third party liability insurance price
Although it may not seem obvious to everyone, the fuel we buy affects the price of third-party liability insurance significantly. In the initial months of 2021, the highest costs of the mandatory insurance encumbered the owners of vehicles with the LPG system. The cheapest insurance was bought for the electrical ones.
|Electrical||Petrol||Hybrid||Diesel||Petrol + LPG|
|Average price of the third-party liability insurance in 2020 (in EUR)||EUR 105||EUR 143||EUR 147||EUR 152||EUR 160|
|Average price of the third-party liability insurance in 2021 (in EUR)||EUR 107||EUR 129||EUR 133||EUR 136||EUR 140|
There are several factors contributing to the price we have to pay for the mandatory third-party liability insurance. The most important of them include the vehicle age and engine capacity. Usually, the vehicles with the LPG system or the ones fueled with petrol are more powerful, but are also older than the electrical ones. Some insurance companies consider that information when calculating the insurance premiums.
To choose the appropriate policy for you, it is worth checking different offers in advance. To that aim, we recommend using a car insurance comparison engine that will not only list the offers by several insurance companies, but will also enable you to buy the selected policy online in several steps without leaving your home.