In response to the extraordinary and unpredictable increase in fuel prices caused by the conflict in the Middle East, the Government of the Czech Republic has issued a general measure providing for a partial waiver of excise duty on diesel fuel and its blends used in compression ignition engines.
The measure applies to taxpayers whose tax liability arises between 8 and 30 April 2026 and allows for a tax reduction of CZK 1,939 per 1,000 litres. Taking VAT into account, the total effect amounts to CZK 2,350 per 1,000 litres.
This tax relief means that the Czech Republic will apply an excise duty rate of CZK 8,011 per 1,000 litres for selected mineral oils, corresponding to the minimum rate set by Directive 2003/96/EC.
At the same time, the measure reduces the maximum refund of excise duty on mineral oils for persons using these oils for livestock breeding and/or crop production (as specified in Section 57(6)(2) of the Excise Duties Act). The maximum deduction is reduced from CZK 8,500 to CZK 8,011 per 1,000 litres.
In parallel, by decision of 2 April 2026, the government has capped the maximum margin of fuel stations in the Czech Republic at CZK 2.5 per litre of non-premium fuel, in order to prevent excessive pricing. According to the Ministry of Finance, margins at some stations had reached up to CZK 7 for petrol and CZK 6.5 for diesel.
The maximum allowable price is currently CZK 43.15 per litre for petrol (incl. VAT) and CZK 49.59 per litre for diesel (incl. VAT).
The maximum retail price is calculated as the sum of three components: the average of daily wholesale indices of ČEPRO, ORLEN and MOL and wholesale prices based on daily quotations by the Platts exchange (including excise duty), plus a margin of CZK 2.5 and VAT. Details are provided by the Ministry of Finance.
The Ministry of Finance also calls on fuel station operators to apply the maximum allowable prices only in exceptional cases and to keep prices below this level whenever possible.
