Greece adds €98 million in fuel subsidies ahead of winter

what happened

Greece's government will allocate an additional €98 million ($109.64 million) to subsidies for heating oil and other fuels before the end of October, aiming to soften the blow of rising energy costs for households heading into winter, according to Newsmetry API. The move follows supply strains linked to the conflicts in Ukraine and the Middle East, and similar relief schemes are now in place in many European countries.

Energy minister Stavros Papastavrou outlined the figures in a televised address. For the second half of October, the state will pay €0.20 per litre on heating oil, and refiners will add another €0.20 discount, with the goal of keeping pump prices near €1.55 per litre. Diesel will receive a €0.15 per litre subsidy and gasoline €0.10 per litre. Whether these measures continue into November will be decided by the end of the month. The cost borne by refiners has not been disclosed.

Heating oil, widely used across Greece, can be bought for the winter season from October 15 through April 30. On Tuesday, the centre-right cabinet announced a 30% increase in the annual heating oil allowance. Since January, the country has spent more than €860 million on energy support for households and businesses.

why it matters

For markets, the details matter: the November decision and the share of refiner contributions will determine how much of the cost reaches end consumers. Continued state support also signals that fiscal pressure on Greece is likely to persist.

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