The Polish government has launched the 'CPN' package, slashing VAT on fuel to 8% and setting daily maximum price limits to combat inflation. This intervention has created a massive price gap with Germany, leading to long queues at border stations and official warnings of potential rationing for foreign vehicles.

Significant Price Disparity

Fuel in Polish border towns like Zasieki is now over 60 euro cents cheaper per liter than in neighboring German towns like Forst, with diesel costing approximately 1.78 euros versus 2.40 euros.

Potential Refueling Limits

Energy Minister Miłosz Motyka has warned that the government may restrict foreigners to one or two refuelings per period to protect domestic supply from 'fuel tourism'.

Daily Price Adjustments

Under the new regulations, the Ministry of Energy sets maximum rates daily; for April 1, limits were adjusted to 6.21 PLN for PB95 and 7.66 PLN for diesel.

Contrasting German Regulations

While Poland has capped prices, Germany is implementing a rule starting Wednesday that restricts gas stations to raising prices only once per day at noon.

Poland's government-imposed maximum fuel prices took effect on Tuesday, March 31, drawing long queues of German drivers to border petrol stations and prompting Energy Minister Miłosz Motyka to warn that refueling limits for foreigners could follow if supply is threatened. Under the caps published in the Monitor Polski on Monday, a liter of 95-octane gasoline cannot exceed 6.16 zloty, 98-octane gasoline 6.76 zloty, and diesel 7.60 zloty on Tuesday. The limits are part of the government's CPN package, which also cuts the VAT rate on fuels from 23 percent to 8 percent and reduces excise duty rates. Prime Minister Donald Tusk announced that the maximum rates would be set daily by the Energy Minister based on average wholesale prices and market operating costs. The price caps represent a reduction of roughly 1.20 zloty per liter compared to pre-intervention levels, according to TVN24 reporting from the border area.

Poland's fuel pricing has been subject to periodic government intervention during periods of market volatility. The current package combines VAT reductions, excise cuts, and statutory price caps — tools that Polish authorities have deployed in various combinations during previous energy price surges. The CPN package's excise reduction is set to remain in force until April 15, while the broader authority to lower excise rates by ministerial regulation extends until June 30 under an amendment to the Excise Tax Act published on Saturday.

German drivers cross the Oder for "paradise" prices Regional German newspapers including Lausitzer Rundschau and Maerkische Oderzeitung reported queues forming at Polish border stations in towns such as Osinów Dolny, Zasieki, Słubice, and Lubieszyn. According to findings by Lausitzer Rundschau, a liter of diesel in Zasieki cost approximately 1.78 euro at midday on Tuesday, while the same fuel in the nearby German town of Forst cost 2.40 euro. Gasoline in Poland was priced at around 1.44 euro per liter, compared to 2.25 to 2.30 euro on the German side of the border. The tabloid Bild described Polish pump prices as "almost paradise prices" for German motorists and noted concerns in Warsaw that Polish taxpayers were indirectly subsidizing cheaper refueling for foreign drivers. A Circle K station employee in Słubice told the newspaper Fakt that "practically the majority of customers today are from abroad," confirming the refueling was predominantly German. TVN24 journalist Bartosz Bartkowiak reported from Lubieszyn that stations there "give the impression of being besieged," with diesel selling at 7.54 zloty per liter and queues at the pumps growing throughout the day.

Diesel in Zasieki (Poland): 1.78, Diesel in Forst (Germany): 2.40, Gasoline in Poland (border): 1.44, Gasoline in Germany (border): 2.25

Motyka warns of possible limits on foreign refueling Energy Minister Miłosz Motyka said the government is monitoring the number of vehicles with German license plates at Polish stations on an ongoing basis and is prepared to act if supply continuity is at risk. He outlined the government's preferred tool on the TOK FM radio station.

„One of the most functional is the introduction of refueling limits for foreigners, for example, up to one or two refuelings per appropriate period” — Miłosz Motyka via TOK FM

Motyka added that any such decision would be preceded by an analysis of the situation in individual border counties and could be applied either territorially or nationwide. He stressed that as of Tuesday no supply threat had materialized. Orlen president Ireneusz Fąfara confirmed that the state fuel company had introduced a system for daily monitoring of border station conditions and warehouse fuel levels across all borders. Prime Minister Donald Tusk said that as of Tuesday Poland was "not dealing with any mass tourism" that required immediate action, echoing the minister's cautious tone. Economist Jarosław Korpys from the University of Szczecin, cited by TVN24, assessed the price cap decision as "a move in the right direction," describing current conditions as "a demand-supply shock" that justifies government intervention in the market.

Budget costs mount as Germany tightens its own rules The Polish Ministry of Finance calculated that the excise duty reduction will cost the state budget 700 (million PLN per month) — monthly budget cost of excise cut and the VAT reduction an additional 900 (million PLN per month) — monthly budget cost of VAT reduction. The maximum prices will rise slightly on Wednesday, April 1, with 95-octane gasoline capped at 6.21 zloty, 98-octane at 6.81 zloty, and diesel at 7.66 zloty per liter including VAT.

Poland maximum fuel price caps: Tuesday vs. Wednesday: 95-octane gasoline (PB95) (before: 6.16 PLN/l (March 31), after: 6.21 PLN/l (April 1)); 98-octane gasoline (PB98) (before: 6.76 PLN/l (March 31), after: 6.81 PLN/l (April 1)); Diesel (ON) (before: 7.60 PLN/l (March 31), after: 7.66 PLN/l (April 1))

Meanwhile, Germany's own fuel market rules tightened on Wednesday, April 1, when new regulations came into force allowing petrol stations to raise prices only once per day at noon, while reductions remain possible at any time. Violations of the German rules carry fines of up to 100,000 euro. German media attributed the surge in cross-border fuel demand partly to the broader rise in German fuel prices since late February, when prices there frequently exceeded 2 euro per liter following the outbreak of the US-Israel military campaign against Iran. Minister of State Assets Wojciech Balczun's ministry was cited by Motyka as one of the bodies whose reporting on supply conditions at border stations would inform any future decision on sales restrictions for foreign drivers.

Mentioned People

  • Miłosz Motyka — Minister energii w trzecim gabinecie Donalda Tuska od 2025 roku
  • Donald Tusk — Premier RP od grudnia 2023 roku
  • Wojciech Balczun — Minister aktywów państwowych w trzecim gabinecie Donalda Tuska od 2025 roku

Sources: 7 articles