Poland's Fuel Price Strategy Amid Middle East Tensions

Poland will maintain its cap on fuel prices as long as necessary, gradually phasing them out when wholesale prices decline. The decision comes in response to the Middle East conflict affecting global oil supply. Poland's strategy is to ensure low prices and secure fuel supply amidst international concerns.

Poland is maintaining its cap on fuel prices, a decision driven by ongoing conflicts in the Middle East, according to Energy Minister Milosz Motyka. The measure will be phased out only when wholesale prices show a consistent decline.

Last month, Poland announced tax cuts and price caps to counteract the war's impact, anticipating a revenue loss of 1.6 billion zlotys monthly. "We enjoy Europe's lowest prices and secure supplies, but must stay vigilant against Middle Eastern conflicts," Motyka remarked.

The U.S.-Israeli conflict with Iran has disrupted global oil and gas flows, affecting Europe. While European airlines express concern over jet fuel, Deputy Energy Minister Wojciech Wrochna said Poland's reserves remain untouched, ensuring supply for upcoming weeks.

(With inputs from agencies.)