Lower fuel prices introduced at the beginning of the year are still higher than the EU average, according to the latest data from Eurostat.

Pump prices in Malta are four cents per litre higher than the EU average. And while on average EU residents pay €1.09 per litre for diesel, Maltese consumers pay €1.22.

The price reductions were announced by the government during the last Budget amid criticism from various quarters.

Calls for further cuts are expected to continue as the price of oil on the international markets continues to tumble. Last week, crude oil hit an 11-year low, dipping to $34 a barrel. This is expected to continue to drive fuel prices lower across the EU.

In some EU countries, petrol prices have already fallen to under €1 a litre and in the case of diesel prices are lower than €1 a litre in at least nine EU member states.

At 88 cents per litre, the price of diesel in Luxembourg, the richest EU member state, is 34 cents a litre cheaper than Malta.

On the other hand, Poland has the lowest petrol prices, at 97 cents per litre, 35 cents per litre cheaper than Malta.

The price of diesel in Luxembourg, the richest EU member state, is 34 cents a litre cheaper than Malta

Falling oil prices on the international markets are also expected to continue to put pressure on the government to cut further the price of electricity for consumers. Since the last price cuts in March 2014, the price of oil has more than halved.

Although Enemalta is still 100 per cent dependent on oil for its power station in Delimara, and is buying supplies at lower prices, the government rejected GRTU demands during last Budget to cut the electricity tariffs by 30 per cent.

Prime Minster Joseph Muscat has always defended his government’s policy of keeping fuel prices stable instead of basing them on the fluctuating price in international markets.

However, according to the Opposition, this policy is now working against the interests of Maltese consumers while delivering profits for Enemalta. The State corporation and Enemed, a fully owned government company, have a monopoly in both the supply of energy and fuel.

A third of Enemalta’s profits are now being passed on to Shanghai Electric, which bought a 33 per cent stake in the company.

The Chinese also own 90 per cent of the newest and most efficient power plant at Delimara, which sells its supplies directly to Enemalta.

The price at which the Chinese are selling their electricity to the government is not known, as the government has refused to publish any of the contracts connected with this deal.

Fuel prices per litre in the EU on January, 4, 2016