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Fuel prices in Spain have recently experienced a slight decline with figures notably lower than the European Union averages
However, there are currently several factors which could influence future fuel prices, the most notable of which is the Spanish government plans to increase the excise duty on diesel by 10 cents per litre to align it with petrol taxes, as part of efforts to meet European Union environmental requirements and secure EU recovery funds.
In January 2025, the EU set a deadline of February 20, 2025, for Spain to implement the diesel tax increase in order for it to unlock the fifth payment of Next Generation EU funds, amounting to nearly €25 billion in loans and subsidies.
As of now, however, due to political disagreements, the Spanish government has not officially announced a new date for the increase.
The proposed tax hike has raised concerns within the transportation sector. In the Balearic Islands, freight transport associations have warned of potential strikes if the diesel tax increase proceeds without compensatory measures from truckers, citing the already higher diesel costs in the region compared to the mainland.
Additionally, global factors such as economic uncertainties, geopolitical tensions, and supply chain disruptions contribute to the unpredictability of fuel prices. While current prices offer some relief to consumers, these variables suggest that fuel costs in Spain may not remain low in the long term.
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