A prolonged price cap imposed on the fuel market is negatively impacting competition in the sector, whilst also affecting its finances, leading officials at SEEPE, the Hellenic Petroleum Marketing Companies Association, have noted.

Consequently, the fuel market is problematic, disorderly and generally unprofitable, SEEPE president Giannis Aligizakis and the association’s deputy, Hristos Tziolas, supported at a news conference.

The price cap is distorting competition and limiting fuel companies to small profit margins that averaged 3 percent in 2022, which, on the one hand, makes any differentiation in terms of competition virtually impossible and therefore nullifies competition, and, on the other hand, makes it difficult for sector players to make long-term investment plans concerning energy and climate targets set for 2030, the SEEPE officials highlighted.

Under such conditions, the fuel market is not sustainable, while, contrary to the general picture being created, the sector has recorded losses of 450 million euros from 2010 to date, according to SEEPE.

The country’s fuel sector incurred losses after tax over seven consecutive years, between 2010 and 2016 (excluding aviation fuel and international sales) and, in 2020, returned to losses of 34.5 million euros as a result of the pandemic, the SEEPE officials supported.