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Albania with oil about 30% more expensive than the region, without any protective measures!

2026-08-28 11:57:03Biznes SHKRUAR NGA REDAKSIA VOX

Albania with oil about 30% more expensive than the region, without any

The rise in retail fuel prices has brought back interventions by governments in the region to reduce excise taxes on oil, except for Albania, although the latter has the most expensive price in the region.

In Albania, for about a week, oil has been trading at a price of 219 lek per liter. Converted into euros, the price of oil is about 2.3 euros per liter, up from 2.06 euros per liter in July, while gasoline is trading at about 2.1 euros per liter.

In the country, compared to July, the price has increased by about 0.24 euros per liter or 21 lek per liter.

From the comparative data of Monitor correspondents for the Western Balkan countries, it results that in Albania fuel prices are significantly higher, bringing back the debate on reducing fuel taxes.

Oil in Albania costs 41% more than in North Macedonia, which is the cheapest in the region, and 17% more than in Serbia, the second most expensive in the region after us. Oil in Albania is 30% more expensive than the regional average of 1.77 lek per liter, according to "Monitor" calculations.

Oil in the country is the most expensive, due to the heavier fiscal burden.

If a simple structure for calculating the price of oil is applied to all countries in the region (base price + excise tax and VAT is calculated on this amount), in Albania, in addition to the excise tax of 0.37 euros per liter and the 20% VAT, two additional taxes are applied to the price of oil.

The circulation tax (27 lek per liter) and the carbon tax (3 lek per liter). This makes the fiscal structure in Albania significantly more burdensome, constituting about 50% of the price or 100 lek per liter.

But despite the price increase, so far the government has not announced any new fiscal measures to reduce prices.

In March, a decision was approved to reduce the excise tax on fuel by 20% if the price of diesel exceeded 220 lek per liter at retail, and for gasoline, the measure applies if the price exceeds 200 lek per liter.

But the use of this measure was limited. Finance Minister Petrit Malaj earlier claimed during a session in the Albanian Parliament that the measure had been used twice and the financial effect was estimated at 37 million lek or about 400 thousand euros.

Montenegro reduces excise duty again

In Montenegro, the price of reference diesel "Eurosuper 98" has reached 1.79 euros per liter and eurodiesel 1.87 euros per liter, and the price of gasoline has reached 1.76 euros per liter, according to data from the Monitor correspondent.

Compared to July, the price of oil has increased from 0.11 to 0.21 euros per liter.

After the increase, the Montenegrin government is once again among the first to react with new fiscal measures. On August 25, the decision was adopted to reduce the excise duty on diesel by 20% and on unleaded gasoline by 5%. The new excise duties will remain in force until September 5.

Montenegro further reduces excise duty on fuels

Even after the outbreak of war in the Middle East, the Montenegrin government was among the first to react immediately by reducing fuel taxes to mitigate the effects on consumer purchasing power. On March 22, the government approved a decision to reduce excise duties on diesel by 50% and on gasoline by 25%.

The North Macedonian government still maintains the excise tax reduction in force

In North Macedonia, the price of diesel for August reached 1.63 euros per liter and gasoline 1.54 euros per liter. Compared to the average prices in July, diesel increased by 0.21 euros.

At the moment, the government of North Macedonia also reports that there are no new fiscal measures for fuels, but the decision adopted on March 22 to reduce the excise duty on diesel by 0.06 euros and on gasoline by 0.03 euros per liter is still in force.

Also on March 22, the decision to reduce the VAT on fuel by 8% was implemented. From 18%, the VAT level was set at 10%. On April 5, the Government made a second decision, that the VAT reduction would remain in effect until the end of the crisis.

There is still no government decision to restore the 8% VAT reduction.

Serbia extends decision to reduce excise duty 

In Serbia, the price of diesel reaches 1.96 euros per liter, up from 1.82-1.87 euros per liter in July. The price has increased by 0.09 to 0.14 euros compared to the previous month.

Following this increase, the Serbian government extended until the end of August the decision to reduce the excise duty on petroleum products by 20%, while the Ministry of Trade continues to determine the maximum selling price of petroleum and gasoline every week.

Bosnia and Herzegovina begins implementing the decision to limit margins

In Sarajevo, the capital of Bosnia and Herzegovina, at retail gas stations, the price of diesel ranges from 1.69 to 1.82 euros per liter, according to the correspondent's data. Compared to July, the price of diesel has increased by 0.29 euros per liter.

After resolving the legislative impasse, in this second wave of price increases, the government has intervened by implementing the decision on profit margin restrictions.

According to the decision, the maximum margin for petroleum products without additives has been set at around 0.03 euros per liter in wholesale trade, while in retail trade the maximum margin has been set at 0.13 euros per liter.

The decision limiting profit margins to 0.13 euros per liter in retail sales was approved by the government in March, but the measure failed to be implemented. The suspension of the decision was held up by the non-approval of amendments to the law "On Excise Duties" by one chamber of Parliament.

Kosovo maintains margin restrictions

In Kosovo, according to the Monitor correspondent, the price of oil has increased to 1.76 euros per liter from 1.56 euros per liter in July. Diesel has increased by 0.2 euros per liter. Gasoline has reached 1.53 euros per liter.

Even in Kosovo, despite the price increase, there is no government decision to reduce taxes, except for keeping in force the guideline approved in March, which allows a profit margin of up to 12 eurocents/liter for the minority, and 2 eurocents/liter for the majority for the sale of diesel. /D.Azo - Monitor

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