Monday, October 05, 2026

Polish motorists save at the pump as fuel price cap takes effect


03.10.2026, DPA

Photo: Patrick Pleul/dpa

A fuel price cap came into force in Poland on Saturday, financed by a new windfall tax on oil companies, making petrol and diesel significantly cheaper for motorists.

Poland's right-wing conservative president, Karol Nawrocki, signed the windfall tax into law late Thursday, paving the way for a new fuel price relief package by the country's centre-left government.

The windfall tax legislation had been the subject of the latest political tug-of-war between Poland's government and the president, who vetoed the government's first attempt in the summer. Despite caving to public pressure and signing the law, the president has referred the legislation to the Constitutional Court for review.

According to the PAP news agency, the law imposes a 60% tax on excess profits from the sale of liquid fuels. It applies to windfall profits generated between March 1, 2026 and March 31, 2027 by fuel producers and companies holding a licence for cross-border fuel trade. The resulting revenue is to flow directly into the state budget.

"Every złoty collected thanks to this law must be spent on reducing fuel prices," Nawrocki said after the signing. 

The fuel price relief package, set to run until the end of the year, reduces VAT on fuel from the current 23% to 8%. In addition, a lower energy tax will apply, as well as a maximum price set daily by the Energy Ministry.

The ministry said on Friday that the maximum price for the weekend and Monday is the equivalent of €1.54 ($1.73) per litre for regular petrol, €1.73 for premium petrol and €1.80 for diesel.

Compared with the average prices at petrol stations on Friday morning, this represented a saving of up to 32 cents per litre for motorists, depending on the type of fuel.

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