Polish drivers are facing the highest fuel prices in four years as the summer holiday season intensifies. Diesel is expected to exceed 8 zloty per liter this week, while gasoline 95 could hit 7.50 zloty, making these potentially the most expensive holidays at the pump in history.
The soaring costs are driven by a combination of factors: the end of the government’s price relief program known as CPN – which expired in late March – and a sharp rise in global crude oil prices, now hovering around 90 dollars per barrel for Brent. Just a year ago, in July 2025, a liter of gasoline cost around 5.92 zloty and diesel 6.10 zloty, thanks to temporary market surpluses.
Since Russia’s invasion of Ukraine in February 2022, European fuel markets have been in turmoil. Although Poland introduced a temporary VAT reduction on fuels in December 2021, current prices are back to similar levels as four years ago, but without any substantial government intervention.
Geopolitical tensions and supply disruptions
The global oil market has been rocked by the conflict between the United States and Iran. Analysts point to the closure of the Strait of Hormuz for free navigation as a key factor. – We are seeing Brent at 90 dollars, but it is still far from the 110-120 dollars per barrel we saw three months ago. Markets expect a quick resolution, but the situation remains uncertain – said Piotr Kuczyński, chief economist at Xelion brokerage.
The reduction in Russian diesel exports – partly due to Ukraine’s successful attacks on Russian refineries – has also tightened supply. India, which previously processed Russian crude into diesel for Europe, is now unable to fill the gap. – Diesel will certainly exceed 8 zloty per liter this week. We may see prices even higher – commented Robert Zywert, fuel market analyst at Reflex brokerage.
No government relief in sight
The Polish government has so far ruled out reintroducing the CPN program, which cost the budget an estimated 4.7–5.1 billion zloty. Finance Minister Andrzej Domański indicated there are no reserves for such a measure, and Prime Minister Donald Tusk confirmed the program will not return in its full form. However, if fuel prices continue to escalate, economists warn that lower consumer spending could slow GDP growth and reduce tax revenues, potentially forcing the government to act.
Higher diesel prices will also impact transportation costs and feed into inflation in the coming months. Agriculture, construction, and logistics are particularly vulnerable to the price surge. With the summer driving season in full swing and no immediate end to the Iran-US conflict, drivers should prepare for further increases.
Źródło: WNP.PL, Fot. Shutterstock
