On Wednesday, as the temporary reduction in excise duty came into force, diesel prices showed diverging trends across fuel retailers, according to observations by LETA.
At filling stations operated by Circle K Latvia, the average diesel price fell by 1%, or two cents per litre—from 2.064 euros on Tuesday, the 31st of March, to 2.044 euros per litre on Wednesday.
Meanwhile, at Neste Latvija stations, the average diesel price increased by 3.4%, or seven cents per litre—from 2.047 euros to 2.117 euros per litre.
At the same time, both retailers raised prices for 95-octane petrol. At Circle K Latvia stations, the price rose from 1.764 euros to 1.864 euros per litre, while at Neste Latvija stations it increased from 1.747 euros to 1.797 euros per litre.
According to data from the State Revenue Service (VID),
Neste Latvija was the largest fuel retailer by volume in 2025, with Circle K Latvia ranking second.
As previously reported, the Law on Limiting Fuel Price Increases came into force on Wednesday, introducing temporary measures to mitigate the impact of rising fuel prices on the economy and households.
The law provides for a temporary reduction in excise duty on diesel fuel—from 467 euros to 396 euros per 1,000 litres. For marked diesel used in agriculture, the excise rate is set at 21 euros per 1,000 litres. These reduced rates will apply until the 30th of June.
The Ministry of Finance (FM) had previously estimated that the excise cut could lower diesel prices by approximately 8.6 cents per litre, including VAT.
The aim of the regulation is to reduce the negative impact of rising fuel prices on household expenses, business costs, and overall inflation. Higher fuel prices significantly affect transport, logistics, and other sectors, contributing to broader increases in the cost of goods and services.
The law was adopted in response to sharp increases in global fuel prices caused by geopolitical developments and disruptions in oil supply chains. In recent weeks, oil and diesel prices have risen rapidly, directly impacting Latvia due to its high reliance on fuel imports.
In light of these developments, the government has introduced a temporary solution to respond swiftly to price fluctuations while maintaining balance in the state budget. The excise duty reduction is expected to partially offset price increases and help stabilise the economic environment.
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