Petrol price fall continues as diesel tipped to go below €1
A filling station in west Dublin is believed to sell the cheapest petrol in the capital after dropping its price of unleaded fuel to 120.8 cent per litre.
The Applegreen garage on Clonsilla Road sold the cheapest petrol in Dublin yesterday, according to price-checking website pumps.ie.
Petrol cost just 120.8 cent per litre at the station while diesel was valued at 111.8 cent per litre.
The price drop means filling the 50-litre petrol tank of a Volkswagen Golf - Ireland's most popular car last year - would cost just €60.40.
The figure is more than €20 less than the €81.65 it would have cost to fill the vehicle's tank four years ago.
Prices were at an all time high in 2012, which saw petrol costing an average of 163.3 cent per litre.
However, now the price of crude oil combined with fluctuations in currency markets has brought petrol prices to a six-year low.
The average price of fuel in the capital is at its lowest since 2010, when one litre of petrol would have cost a consumer 124.2 cent.
One of the cheapest diesel prices in Dublin yesterday was at the Jones Oil filling station on the Greenhills Road, which offered fuel at a cost of 104.9 cent per litre.
Despite the six-year low, certain businesses are prepared to continue to drop their prices overnight as a result of the twice-weekly schedule forecast for the oil companies.
The forecast has a massive impact on how stations price their fuel, with many altering their value on a daily basis.
Commentators say they can see a day coming soon when diesel in the capital will average at less than €1 per litre, a figure which is being offered by a Gala filling station in Ballina, Co Mayo.
Prices may be dictated by the amount of fuel a filling station has in its tanks. A station opting to buy a tank full of petrol worth €10,000 will sell petrol at a higher price to cover its margin.
However, a cheaper tank filled with €9,000 of petrol puts a business in a stronger position to sell at a lower price.
The Maxol garage in Harold's Cross has two petrol pumps and one diesel pump but offers one of the cheapest prices in the capital, working off a single fuel tanker delivery on a busy day.
Manager Feng Pian described how they priced petrol at 121.7 cent per litre yesterday with diesel at 105.7 but said that the price is more likely to drop today.
Figures provided by the AA show that petrol costs just 41.11 cent per litre before any taxes are added on.
The price is increased as a result of excise (47.90 cent), 23pc VAT (27.18 cent) and a 2 cent NORA (National Oil Reserve Agency) tax, which ensures that Ireland meets EU stock keeping obligations.