The latest cut in fuel prices, announced by the Prime Minister last Sunday, has brought them down to the EU average, according to the latest oil bulletin published by the European Commission.

At €1.35 per litre, the price of unleaded petrol is currently 4c cheaper than the EU average while the price of a litre of diesel, now at €1.28, is at par.

The price of diesel still leaves Malta the seventh costliest among the 28 EU member states, however, while the price of unleaded places it at 12th.

Following the renegotiation of its oil procurement contracts, the government last month decided to start cutting prices in a staggered manner.

As the price of oil plummeted by 50 per cent over the past year, Malta’s fuel prices had stubbornly refused to come down, staying at much higher levels than the EU average.

The Opposition mounted a fierce campaign to put pressure on the government to cut the price so it would reflect the international market, but the government insisted hedging agreements prevented it from doing so until the end of this month.

The government also argued that it had maintained fuel price stability.

Furthermore, Energy Minister Konrad Mizzi had said that lowering the price suddenly would create cash flow problems for State-owned company Enemed, which was formed last August to take over the petroleum division from Enemalta.