In the wake of the sharp increase in oil prices on the world market, fuel prices will rise sharply on Saturday at midnight, March 1. The maximum price of a liter of 95-octane gasoline at self-service pumps will rise by 6.25% or NIS 0.38 to NIS 6.46 (including VAT). An extra NIS 0.19 (including VAT) will continue to be charged at full-service pumps.
Oil prices on world markets have risen by 23.2% in February.
Prices in Israel had reached a five-year low after falling in recent months. The price of a liter of 95-octane fell 3% or NIS 0.19 on February 1, after falling NIS 0.63 per liter at the beginning of January, by NIS 0.15 at the beginning of December, and by NIS 0.27 at the beginning of November.
The price of fuel in Israel is set according to the price in the last four days of the month at Lavera in France. But the international gasoline price represents only 35% of the final pump price in Israel. The second component is excise, comprising 41% of the eventual price. The fuel stations' selling margin accounts for about 9% more, and VAT of 18% on these three components makes up the rest.
Published by Globes [online], Israel business news - www.globes-online.com - on February 26, 2015
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