The average cost of fuel at Irish filling stations has fallen during August, according to a survey from the AA.
So, how much are we paying now?
The AA's figures show that the cost of a litre of petrol fell from €1.73 on average in July to €1.70 in August. Diesel also fell, but by slightly less, going from an average of €1.69 in July to €1.68 in August.
Why are we seeing cheaper prices?
The wholesale cost of crude oil has fallen slightly in August, that's why. US crude futures are down by around USD$3 per barrel, which has an effect, however slight, on pump prices here. We're more exposed to the Brent Crude futures price, but even that has stayed quite low, at around USD$67 per barrel, hence the fairly stable prices at the pumps of late. It's an unusual situation, given all the political turmoil the world has been facing of late, but oil prices haven't spiked much at all.
Will prices get more expensive?
Yes, definitely, as we're heading towards October and that means the new Budget, and that means another increment in carbon tax, so there will definitely be an increase in prices at that time, although it's entirely possible that any other falls in wholesale prices could essentially nullify that. We shall just have to wait and see what happens closer to the time.
What about EV charging costs?
According to the AA, the cost of charging an EV at home has remained steady, but the price of public charging has increased in the past month, with ESB announcing price hikes, and with the upcoming return to 13.5 per cent VAT on electricity prices in October (up from nine per cent now), those costs will go up again.
What's the AA's advice?
A spokesperson for AA Ireland said: “August has brought some modest relief at the pumps, with both petrol and diesel recording a small decrease compared to July. While these reductions may seem minor, they help ease the cost burden for households and drivers travelling during the end of summer holiday period. Stability in EV charging costs this month is also welcome news for those who made the switch to electric, although the recent on-the-go price adjustments still highlight the importance of planning longer journeys carefully.”