Gasoline prices in the Jewish State are set to rise again by week’s end – this time, by more than half a shekel (60 agorot) – from NIS 6.46 per liter of 95 octane (self-serve) to NIS 7.10 per liter.
For the average Israeli driver, it means the cost of filling the tank will be around NIS 50 higher, beginning this Friday.
The reason for the price hike has to do with the one-shekel reduction of the excise tax, which is set to expire at the end of this month.
The prior rate hike, in September, raised the price to NIS 8.25 per liter (self-service) – at which time then-Finance Minister Avigdor Liberman cut the excise tax by a shekel per liter.
As of December 31, 2022, the price of gasoline in Israel will have risen six times in 12 months, not including the two times prior to the November 1 elections that the price was dropped by outgoing Finance Minister Avigdor Liberman.
The Finance Ministry said, however, that this time it does not have the budgetary resources to continue absorbing the cost of the reduction on the excise tax.
Newly appointed Finance Minister Bezalel Smotrich will be the one to face the music when the new government takes office.