Record fuel prices: How are governments responding?
Key takeaways
- In Germany, a liter of diesel costs up to 40% more than before the Iran war and other countries have seen even bigger price jumps.
- Even during the oil crisis of the 1970s, fuel prices in Germany — adjusted for purchasing power — remained well below €2.
- In the context of the US-Israeli war on Iran, this is hardly a surprise.
Why this matters: an international story with cross-border implications worth tracking.
In Germany, a liter of diesel costs up to 40% more than before the Iran war and other countries have seen even bigger price jumps. What are governments around the world doing to combat record fuel prices?
https://p.dw.com/p/5CGe ZThe Philippines, like other nations around the globe, has been trying to offset the impact of soaring fuel prices Image: Daniel Ceng/Anadolu/picture alliance Advertisement Gasoline and diesel have never been as expensive in Germany as they were this April. According to the website Clever Tanken, diesel prices rose above €2.43 (about $2.80) per liter on average across Germany's 100 largest cities, while Super E10 (unleaded gasoline with up to 10% ethanol) cost more than €2.18. Even during the oil crisis of the 1970s, fuel prices in Germany — adjusted for purchasing power — remained well below €2.
In the context of the US-Israeli war on Iran, this is hardly a surprise. According to the International Energy Agency, the current war in the Middle East has triggered a far greater supply shock to the global fuel supply than the oil embargo imposed by Arab OPEC members in the 1970s. Back then, supply disruptions only affected countries that had aided Israel in the 1973 Yom Kippur War.