95-octane gasoline now costs €1.849 per liter at pump, as does diesel. 98-octane gas is now €1.899.

Prices last week had exceeded the €2-per-liter mark, for the first time ever in Estonia.

Indrek Sass, head of fuel pricing at Circle K AS, said his company based its price cut on the purchase prices of motor fuels, state taxes and local competition.

He said: "As the last few days have been very volatile on the fuel market, the changes will reach consumers in a short period of time."

Jörgen Õigus, CEO of Terminal Oil, said, however, that world oil prices had calmed down and the earlier volatility had diminished. 

Õigus said: "At the moment, prices are falling, which means cheaper fuel price for consumers too."

Circle K's prices had fallen by three cents per liter for 95 gas and by two cents per liter for diesel, to reach the current prices quoted above.

Terminal made cuts of five cents on both fuel types, mid-morning on Wednesday.

Õigus added that world prices, purchase prices and tax were the main factors in Terminal's pricing decisions, which were unaffected b local competition.

After all-time record highs of over €2 per liter for fuel last Wednesday, this state of affairs was quite short-lived as on Friday, 95-octane gas and diesel dipped back below the €2-per-liter mark, to €1.949. Monday saw a further price fall for both fuel types, to €1.899 a liter – now the current price of 98-octane gas.

Economics minister Taavi Aas (Center) told ERR on Wednesday that: "The price exceeding €2 per liter is in no way normal," adding the government could use tax policy to alleviate the inflation.

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