Fuel prices in Estonia are once again heading upwards, creating challenges for both drivers and small businesses. While global oil prices have been on a downward trend, this hasn’t translated to lower prices at local fuel stations. Several factors are behind this: national tax policies, market dynamics, and tightening environmental regulations.

Why aren’t fuel prices dropping?

• Even though global oil prices have decreased, the reduction hasn’t been fully passed on to Estonian consumers. There are several reasons for this:
• High excise duties and tax increases – as of July 1, 2025, VAT has increased to 24%.
• Biofuel mandate – fuel providers are required to add bio-components, which are more expensive.
• Logistics and stock management costs – particularly burdensome for smaller market players.

Looking ahead: 2.50 € per liter?

Fuel market experts predict that by 2030, petrol prices could reach 2.50 € per liter. Several factors are driving this:

• Introduction of a car tax starting in 2025.
• Gradual increase in fuel excise duties until 2028.
• EU green reforms and stricter regulations.

This means that car ownership is becoming increasingly expensive. Fuel station chains will need to rethink their business models—focusing more on electric vehicle charging, remote services, and digital solutions.

How to cope with rising fuel costs?

As fuel prices rise and travel expenses increase, this can unexpectedly strain household budgets—whether it’s daily commuting, family road trips, or taking kids to activities outside the city. In such situations, a personal loan can offer a flexible way to manage additional expenses.

Laen.ee’s personal loan can help cover rising costs just when you need an extra boost—quickly, easily, and without unnecessary bureaucracy. Plus, we offer new customers loans of up to 10,000 € for up to 6 months at 0% interest—completely free of charge.

If you want to keep life moving even in a world of rising costs, find out more: www.laen.ee