Diesel is more expensive than gasoline by 166 won per liter … until when?

The increase in fuel prices is not uncommon. The inversion of gasoline price from diesel prices in Gangwon-do has continued for four months, and the price difference has widened to an all-time high of 160 won.

According to the Korea National Oil Corporation’s oil price information system, Offnet, the average gasoline price in the province as of 3 pm on the 16th was 1,682.59 won per liter.

On this day, the average diesel price in the province was 1,848.79 won per liter, and the gap between the two types of oil reached 166.2 won. Given that the gap between gasoline and diesel prices was 29.1 won on June 30, the difference increased 5.7 times in four months.

This is the first time in 14 years since May 2008 that gasoline prices have been reversed for diesel in the province. At the time, the phenomenon of higher diesel prices lasted for 66 days, but this phenomenon lasted for 129 days and the gap is widening.

The reason for the increase in diesel prices is that the international price is higher because the supply has not met the demand. In Europe, where the share of diesel vehicles is high, Russia relied on imports for 60% of diesel.

The main reason is that although the tax levied on domestic gasoline prices has been higher than diesel, the fuel tax cut rate has been the same since November last year. Since the tax was cut at the same rate, the effect of the cut in gasoline was inevitably greater.

The problem is, as the winter season approaches, the gap between diesel and gasoline prices is likely to widen further. There is also a forecast that diesel prices will not fall below gasoline prices for the time being as the government implements a policy to reduce diesel vehicles in line with the global eco-friendly stance.

However, some observers predict that the price range between gasoline and diesel will narrow as the general oil price is expected to rise from next week. Domestic gasoline and diesel prices are expected to rise due to the impact of rising international oil prices due to a drop in US petroleum product inventories and deepening conflict between Russia and the West.

Choi Jong-heon, governor of the Korea Gas Station Association, said, “Normally, the demand for gasoline increases during the holiday season in the summer, and the demand for diesel for heating oil in the winter tends to decrease. increase. “He said.