Fuel Prices to Rise Again in October: 95 Octane to Reach 7.23 Shekels per Liter

At midnight between Tuesday and Wednesday, regulated fuel prices in Israel will be updated upward once again, reflecting continued pressure from global energy markets. The Ministry of Energy and Infrastructure announced Monday that the maximum price of 95 octane unleaded gasoline at self-service pumps (including VAT) will climb by 7 agorot, reaching 7.23 shekels per liter.

The surcharge for full-service fueling will remain unchanged at 25 agorot per liter.

Regional Price Differences

In Eilat, where VAT is not imposed, the maximum price for 95 octane gasoline at self-service stations will be capped at 6.13 shekels per liter, also reflecting a 6 agorot increase compared with last month’s update. The full-service surcharge will remain at 21 agorot per liter.

Consecutive Increases

This adjustment follows a 9 agorot increase in the previous update, meaning that in the span of two months, drivers will be paying 16 agorot more per liter at the pump. The increase, though modest, adds to the broader burden of rising living costs and inflationary pressures already weighing on households.

Ministry Procedure

The Fuel and Gas Administration of the Ministry of Energy and Infrastructure publishes the updated price of regulated 95 RON gasoline at the end of every month. Prices are set in accordance with a formula established in the Order for the Supervision of Prices of Commodities and Services, which pegs the cost of fuel in Israel to fluctuations in global oil prices, refined product markets, and currency exchange rates.

Broader Context

The recent hikes in fuel prices are linked to volatile crude oil markets, driven by geopolitical tensions in the Middle East and disruptions to global shipping lanes, as well as stronger demand trends. Analysts note that while Israel’s regulated pricing mechanism offers stability compared with fully liberalized markets, consumers are still directly affected by global energy shocks.

Transportation and logistics companies have already warned that sustained increases in fuel prices could raise operating costs across the economy, from public transport and delivery services to food prices.

What Comes Next

While officials in the Ministry of Energy have not signaled extraordinary interventions beyond the regulated price mechanism, economic observers are closely watching whether additional international developments — such as disruptions in energy supply chains due to regional conflicts — will lead to further hikes in the coming months.

For now, Israeli consumers will have to prepare for higher costs at the pump as of October 1, marking another reminder of the country’s exposure to global energy dynamics despite domestic regulation.