Gasoline Prices in Israel to Decrease by 27 Agorot Starting Midnight Tomorrow

SadaNews Economy Translation - Fuel prices in Israel will decrease by 27 agorot per liter starting next month.

The Israeli Ministry of Energy and Infrastructure announced today, as per SadaNews Economy translation, as part of the fuel price update for June.

According to the update, the maximum price for a liter of unleaded 95 octane gasoline at self-service stations will be 7.80 shekels per liter, starting from midnight tomorrow, compared to 8.07 shekels today. Full-service charges will remain fixed at 25 agorot per liter.

The Israeli Ministry of Energy explained that this decline is due to two main factors: a decrease in the dollar exchange rate against the shekel by about 5% during the month, along with a drop in global gasoline prices in the Mediterranean basin by about 4%, which is the price used to calculate gas prices in Israel.

Batcheva Abuhatzira, Director of the Fuel and Gas Administration at the Ministry of Energy and Infrastructure, stated that "the significant drop in gas prices at the station for the upcoming June reflects the strength of the shekel against the dollar over the month, in addition to the decline in global gasoline prices, which intensified towards the end of the month amid progress in negotiations between the United States and Iran."

Data from the Israeli Ministry of Energy shows that production tax remains the main component in the price of gasoline, amounting to 3.61 shekels per liter, which equals approximately 46% of its consumer price. The global gasoline price constitutes about 30% of the final price, while value-added tax accounts for approximately 16%.