Fuel prices to drop slightly from midnight

The Croatian government has announced new fuel prices that will take effect at midnight tonight, bringing modest relief to drivers.

A liter of Eurosuper will be two cents cheaper, falling to 1.64 euros. Eurodiesel will see a bigger reduction of seven cents, dropping to 1.78 euros per liter. Agricultural diesel will also decrease by seven cents, now costing 1.29 euros per liter.

At the same time, the government has submitted a proposal to Parliament that would allow the introduction of a floating VAT on petroleum products. This temporary measure would reduce VAT to 15 percent only if fuel prices spike sharply, aiming to protect citizens from extreme price surges.

Prime Minister Andrej Plenković explained the reasoning behind the move:

“This is an amendment in response to extraordinary circumstances and uncertainty about how long the energy crisis will last. The goal is to have another tool at our disposal that we can use if truly necessary - the ability to adjust the VAT rate on energy products in line with market changes.”

Deputy Prime Minister and Finance Minister Tomislav Ćorić added:

“We need to give the government the authority to temporarily set the VAT rate for energy products subject to excise duties. This provides tax policy flexibility and serves as an important instrument for preserving economic stability when needed.”

Economy Minister Ante Šušnjar expressed optimism that the market will stabilise soon:

“I am hopeful that in the coming period there will be peace negotiations and an agreement that would lead to lower market prices - as we have already seen in recent days when the two sides held talks. Markets are volatile at the moment, but I remain an eternal optimist that some kind of agreement will be reached within the next fifteen days or so.”