Fuel prices will drop by 42 agorot per liter on October 31, 2026, bringing self-service 95-octane gasoline down to 7.35 shekels. However, the reduction lasts just four days unless Finance Minister Bezalel Smotrich extends a temporary tax relief order before November 5.
Fuel Prices Drop Briefly Before a Potential Spike
Drivers face a short financial window as November begins. At midnight between Saturday and Sunday, October 31 and November 1, the maximum price for self-service 95-octane gasoline drops by 42 agorot to stand at 7.35 shekels per liter, including VAT. That reflects a notable relief from the previous rate of 7.77 shekels according to official ministry data.
For a standard 50-liter fill-up, motorists will save 21 shekels at the pump. For a 40-liter fill-up, the cost will drop to 294 shekels from the previous 310.80 shekels, providing a savings of 16.80 shekels.
In Eilat, purchases are free of VAT. The maximum price for self-service 95-octane gasoline there will not exceed 6.23 shekels per liter, marking a decrease of 35 agorot from the previous update.
Full-service surcharges there remain at 22 agorot without VAT.
Yet that price relief carries an immediate expiration date. If the temporary excise tax order is not prolonged, the discount vanishes within days.
Motorists could see prices jump by a full shekel to 8.35 shekels per liter on November 5 as the temporary exemption expires.
Full-service station fees remain unchanged at an additional 26 agorot per liter.
For a 50-liter tank, filling up at the start of November for 367.50 shekels could surge four days later to 417.50 shekels, creating a 50-shekel difference on a single refuel.
Global Market Pressures Shape Excise Tax Decisions
According to the Ministry of Energy, the initial decrease stems from market adjustments, while international trends continue to exert pressure.
Brent crude stands at a price of 115 dollars a barrel, driven by factors such as traffic disruptions through the Strait of Hormuz and long-term attacks affecting major global energy producers.
At the same time, the US dollar exchange rate against the shekel stands at 3.11 shekels, reflecting a strengthening that adds further upward pressure to fuel costs.
Behind the looming four-day spike lies a larger treasury debate.
Finance Minister Bezalel Smotrich previously signed orders to cut the excise tax on fuel. He cut it first by 50 agorot.
He later cut it by a full shekel to cushion consumers against historic highs driven by high Brent crude trading near 115 dollars a barrel.
Those high global figures reflect tightened supply constraints, including shipping pressures around the Strait of Hormuz and disruptions tied to prolonged attacks on refining infrastructure noted in market analyses.
Without an extension of the emergency order, the expiration of the excise tax break will automatically add a full shekel per liter back into the pricing structure.
Treasury Costs Face Consumer Relief Demands
Professional staff within the Ministry of Finance have raised objections against continuing the subsidy without a defined budgetary source.
That leaves the final decision on Smotrich’s desk as the deadline approaches pending consultations in the coming days.
For now, drivers filling up over the weekend will enjoy the 7.35-shekel rate while watching for treasury announcements before Thursday when the temporary exemption officially lapses.
The Ministry of Energy and Infrastructure recommends that motorists compare prices across different refueling stations and select the most cost-effective option available.