European governments are increasing scrutiny of fuel retailers and implementing price controls as rising costs spark concerns across the continent. In France, a recent sweep of gas stations revealed that 5% of the 513 stations inspected were fined for discrepancies in posted prices, with penalties ranging from €3,000 to €5,000. Repeat offenders face doubled fines, and instances of “bad faith” can result in penalties up to €300,000.
The actions come as diesel prices in France have climbed to as high as €2 per liter, driven by refining costs, according to French Economy Minister Roland Lescure during energy minister meetings in Paris. Lescure recommended consumers switch gas stations if prices reach €2 per liter.
Hungary Imposes Export Ban
Hungary has banned the export of crude oil, gasoline, and diesel fuel, following Prime Minister Viktor Orbán’s announcement of price caps “for all Hungarian families and businesses.” The government has frozen gasoline and diesel prices at 595 and 615 forints, respectively. This decision underscores the growing pressure on European nations to address energy affordability.
Gabor Egri, president of the association of independent gas station owners, cautioned that existing reserves would last only a few months, mirroring a similar measure implemented in 2021 that led to fuel shortages. “After that, we will all close,” Egri predicted. Oil company Mol assured continued supply within the country, but a key issue remains the suspension of Russian oil deliveries via the Druzhba pipeline in Ukraine, prompting a Hungarian delegation to travel to address the situation.
Greece Introduces Profit Caps
In Greece, Prime Minister Kyriakos Mitsotakis announced a three-month cap on profit margins for both fuel and supermarket products. “We are on alert for further repercussions of the crisis,” Mitsotakis stated during a meeting with the President of the Hellenic Republic, Konstantinos Tasoulas, who urged a crackdown on speculation. The move reflects a broader trend of government intervention in response to inflationary pressures.
