Fuel prices

Petrol drops 50 agorot from midnight

Finance Minister Smotrich signs excise-tax cut bringing gas to ₪7.77 per liter, down from ₪8.27, as global prices climb

OCT 4, 2026 17:18

2 min read

Israel Slashes Fuel Tax: Petrol Drops 50 Agorot Per Liter from Midnight

A new excise-tax order signed by Finance Minister Bezalel Smotrich takes effect at midnight Sunday, cutting the price of petrol by half a shekel per liter. The maximum price for a liter of 95-octane unleaded petrol at a self-service station will drop from ₪8.27 to ₪7.77.

The reduction is 50 agorot per liter compared to the previous update. Full-service stations may add 26 agorot per liter including VAT, unchanged from the last update.

The Energy Ministry also announced that the maximum price for a liter of 95-octane unleaded petrol at a self-service station in Eilat, which is VAT-exempt, will be ₪6.58 per liter, down 43 agorot from the previous update. Full service in Eilat adds 22 agorot per liter excluding VAT, also unchanged.

The Energy Ministry advised consumers to compare prices and choose the most economical station.

"At a time when fuel prices are soaring around the world, we are making sure they do not soar in Israel," the Prime Minister's Office said in a statement. "The same is true for electricity prices in Israel, which are among the lowest in the West as a result of our insistence on developing gas reserves and opening competition in electricity generation. Israel's economy is breaking records. We will continue to navigate it responsibly."