The German government announced the implementation of new regulatory measures to curb frequent fuel price fluctuations by limiting the number of price increases to once per day. Price increases are permitted once at midday, whereas price decreases may be made at any time without limit.The German Parliament passed the new legislation on March 26 as part of a government package to combat sharp price spikes caused by energy market volatility following military escalation in the Middle East.The package includes legislation to regulate fuel price adjustments, alongside two amendments to competition law aimed at tightening oversight of arbitrary price hikes within the fuel sector.The German government stated that Middle East developments and the closure of the Strait of Hormuz shipping route have driven global oil prices up by approximately 30%, directly impacting domestic fuel costs.Following a recent European Council meeting, Chancellor Friedrich Merz emphasized that the government is working to mitigate the war’s economic impact. He noted that restricting fuel price increases to once per day is a key part of this strategy, along with efforts to stabilize market supply and closely monitor price trends.Before this law took effect, gas stations adjusted their prices multiple times a day. Official data showed some stations recording nearly 50 price changes in a single day, leading to significant consumer confusion.
