AA Ireland January Fuel Price Survey shows Petrol, Diesel price drop four months running
- Petrol drops 4c per litre to €1.68
- Diesel also drops 4c per litre €1.68
- Prices still elevated above 2023 lows of €1.57 for Petrol and €1.47 for Diesel
- Crude oil rises to circa $79 per barrel
- Electric Vehicle fuelling drops marginally, remains elevated.
The AA Ireland’s latest monthly Fuel Price Survey has shown a small drop in Petrol and Diesel prices over the last month. This is the fourth consecutive month that fuel prices have fallen. The last time both prices fell four months in a row was in 2017. Petrol is down from €1.72 per litre in December to €1.68. Diesel also fell by 4c per litre, from €1.72 to €1.68.
Blake Boland, Head of Communications for the AA Ireland, welcomed the drop, saying that “motorists in Ireland have been struggling with costs of late, and this fuel price drop takes a little of the sting out of their monthly bills. This means that prices are now 17c cheaper than they were in September. However, prices are still high in comparison to summer of last year when we saw lows of €1.57 per litre for Petrol in May. Diesel was as low as €1.47 in May.”
Mr Boland continued on to say that crude oil prices have risen slightly since December, but are far below peaks of last year. “Thankfully crude oil prices have reduced since we saw highs of $94 per barrel in late September. It is now hovering around $79 per barrel. Although not directly linked, it is great to see this fall in crude oil prices transferring to the pumps in Ireland over recent months.
Blake Boland added that this doesn’t necessarily mean that prices in forecourts will continue to fall. We have seen a lot of producers stepping up supply of oil based on high prices seen in September. That incentive is not there as strongly anymore. A combination of factors lead to the price we pay at the pumps, and further escalation of conflict in Ukraine or the Middle East could swing market prices.
With the cost of Petrol and Diesel being so high, Mr Boland said motorists should consider adjusting their speed to save money. An AA Ireland experiment showed that reducing your speed on the motorway from 120km/h to 100km/h could cut your fuel bill by 29%.
Electric Vehicle fuelling costs show slight drop
Electric Vehicle owners are seeing a marginal drop in charging costs in January according to the AA Ireland Fuel Price Survey. EV owners will pay on average €967 per year, compared to the December average of €975 to cover the national average of 17,000km per year.
This figure of €967 is far higher compared to before Russia’s invasion of Ukraine, but still compares quite favourably with combustion engine equivalents. A similarly sized Diesel vehicle will cost approximately €1,999 to cover that same distance of 17,000km.
Mr Boland added that “EV drivers need to shop around to get the best rates possible on their home electricity. There are new entrants to the market and lots of favourable switcher rates. Those with smart meters taking advantage of cheap night-time rates could see their yearly bill for the national average of 17,000km dropping to just under €300. There are significant savings to be made by switching to an EV in the right way.”
