What’s Happening with Fuel Prices in Mallorca?
Starting Wednesday, July 1st, drivers on the island will notice that filling up costs more. The increase comes because a temporary tax cut that lowered the value‑added tax (VAT) on fuel is ending.
Why Prices Are Going Up
In mid‑March the Spanish government reduced VAT on petrol and diesel from 21 % to 10 % as a response to rising energy costs linked to the Iran situation. That measure was meant to give consumers a break, but it was only scheduled to last a few months. Now the relief expires, and the tax returns to the normal 21 % rate.
What the Numbers Mean
- Petrol price: about +10 cents per litre.
- Diesel price: about +2.8 cents per litre.
Even though the increase seems small per litre, it adds up quickly for anyone who drives regularly.
Impact on Drivers
On Tuesday, July 30th, many gas stations saw long lines as people rushed to fill up before the price jump. Motorists and motorcyclists tried to save a few euros by buying fuel while the lower VAT was still in effect.
Electricity Gets Pricier Too
The same VAT cut also applied to electricity, natural gas, briquettes, pellets and firewood. From June 1st the VAT on these energy sources rose from 10 % back to the standard 21 %. In addition, the electricity tax will climb from 0.5 % to 5 % on the same date.
When the Changes Take Effect
• Fuel VAT increase: Wednesday, July 1st.
• Electricity and gas VAT increase: already in effect since June 1st.
• Electricity tax increase: also effective June 1st.
How to Save Money
If you want to keep your fuel costs down, consider these tips:
- Plan trips to combine errands and reduce driving distance.
- Keep tires properly inflated; under‑inflated tires use more fuel.
- Drive smoothly—avoid rapid acceleration and hard braking.
- Use public transport, bike, or walk for short distances when possible.
- Check for loyalty programs or discounts at specific gas stations.
Quick Tips
• Fill up early in the morning when temperatures are cooler; fuel is denser.
• Remove roof racks or carriers when not needed to improve aerodynamics.
• Stay informed about future tax changes by following local news.
Bottom Line
The end of the temporary VAT cut means higher fuel and electricity prices in Mallorca starting July 1st. While the increase per litre looks modest, it can affect monthly budgets, especially for regular drivers. By adjusting driving habits and staying aware of the changes, you can soften the impact on your wallet.
For more details, see the original report: Source
Images Credit: www.mallorcamagazin.com