Prices for gasoline have increased to 60 hryvnias and above. Why have gas stations raised their prices, and what should drivers prepare for?

Since the beginning of 2025, fuel prices in Ukraine have increased by several hryvnias on average due to rising excise taxes and the situation on global markets. In the near future, the cost of petroleum products may rise even further.

To understand why fuel prices are increasing and how long this trend will last, read the overview by journalist RBK-Ukraine Alik Sakhno.

Last year, the Verkhovna Rada adopted Law No. 11256-2 concerning the increase of excise taxes on fuel. The document states that the goal is to align Ukraine's tax legislation with European Union norms as part of the euro-integration process. The first increase took effect on September 1, 2024, and the excise tax will continue to rise annually until 2028.

Why Fuel Prices Are Rising

Since last year, the excise tax rate for gasoline has been set at 242 euros per 1000 liters, while for diesel and gas it is 177 and 148 euros, respectively. From 2025, the excise tax has risen to 271 euros for gasoline, 215 euros for diesel, and 173 euros for gas.

This increase in excise tax has led to an average rise in fuel prices of 2 hryvnias since the beginning of the year, notes Sergey Kuyun, director of the consulting company A-95, in a comment to RBK-Ukraine. He adds that the cost of gasoline has risen by 3.5 hryvnias, while diesel fuel has increased by up to 4 hryvnias.

Factors influencing the rise in petroleum product costs include not only the increase in excise taxes but also the rising price of oil on global markets and the devaluation of the hryvnia, according to the expert.

"The rise in the dollar exchange rate in Ukraine since the beginning of the year has added 20 kopecks to fuel prices. Additionally, oil prices surged from $74.5 to $82 per barrel in January due to sanctions against Russian oil tankers. This has compelled China, India, and other consumers to seek new logistical routes that do not involve these tankers. While this search is ongoing, prices will remain high, but this is a matter of weeks. After that, oil prices should return to previous levels," – explains Sergey Kuyun.

Ukrainian gas station networks have managed to avoid significant price increases due to large volumes of fuel imported into Ukraine in December. Kuyun adds that there have been minimal supplies of petroleum products at elevated prices for the second week in a row. He expresses hope that the reserves at gas stations will last until countries that previously purchased Russian oil find new suppliers, which would positively impact fuel prices immediately.

According to the A-95 consulting group, the average retail prices at Ukrainian gas stations as of January 23 are:

• premium gasoline A-95: 60.66 hryvnias per liter;

• gasoline A-95: 58.70 hryvnias per liter;

• gasoline A-92: 54.45 hryvnias per liter;

• diesel: 57.66 hryvnias per liter;

• gas: 37.48 hryvnias per liter.

The prices of petroleum products at different gas stations can vary by 7-10 hryvnias. For instance, the gas station "Avantage 7" sells a liter of A-95 gasoline for an average of 52.95 hryvnias, while at the "WOG" network, the same liter costs 61.99 hryvnias, and at "SOCAR" – 62.99.

Will Fuel Prices Decrease Soon?

Sergey Kuyun predicts that despite the rise in excise taxes and the devaluation of the hryvnia, petroleum products in Ukraine could even decrease in price over the year. This is linked to several factors on the international stage, particularly the policies of newly elected U.S. President Donald Trump regarding oil production.

"Americans do not even need to significantly increase production, as there were signs of market oversaturation last year. Adding a little more oil could lead to a sharp drop in prices. For example, during the 2020 dispute between Saudi Arabia and Russia, the Saudis reduced the price to $20 per barrel in just a few days. It cannot be ruled out that something similar could happen again," – notes Sergey Kuyun.

The expert adds that if the price of Brent crude oil hovers around $60 per barrel, it will have serious repercussions for the Russian economy. After applying discounts and transportation costs, Russia would receive only about $40 per barrel. This price is essentially the cost of production, so the Russian budget would miss out on significant funds, which could trigger economic upheaval in the aggressor country.

Moreover, a drop in oil prices will contribute to lower prices for petroleum products worldwide. According to Sergey Kuyun, high fuel prices are not beneficial for Ukrainian gas station networks, as at a price of 60 hryvnias per liter, gas stations earn the same as they would at 50 hryvnias, but due to high costs, they lose a significant number of consumers.

The director of the A-95 consulting company also notes that the end of the war and the reopening of Ukrainian ports will influence the reduction of fuel prices in Ukraine. Currently, Ukraine is forced to import petroleum products from 15 countries, with the majority coming from Polish ports located over 1000 km away. If supplies of raw materials can be conducted directly, this could significantly lower the price of gasoline and diesel in the market.

Let us remind you that retail prices for gasoline and diesel in Ukraine decreased in November 2024. For more details on prices at domestic gas stations, read our previous article.

Comments for this material were provided to RBK-Ukraine by Sergey Kuyun, director of the consulting company A-95, along with data from the A-95 consulting company and the Verkhovna Rada of Ukraine.