The Fuel and Energy Business Association (FEBA), together with experts from analytical companies, conducted a detailed monitoring of fuel prices in Ukraine. The study confirmed the key role of small and medium-sized businesses (MSBs) in retail trade as the main factor protecting consumers from market monopoly.
The analysis covered average prices for A-95 gasoline and diesel fuel (DF) across Ukrainian regions. Operators were classified into three main categories:
- Premium Class (large networks with high margins and additional services).
- Middle Class (regional and national networks with average prices).
- Discounters (MSBs and regional operators offering the minimum price).
Key Finding. The Price Gap Reaches up to 20%
The results clearly indicate that the presence of discounters sets the price benchmark for the entire market. Their pricing policy forces large players to adjust their margins, which sustains competition.
Price Differences for A-95 Gasoline
Taking A-95 gasoline as an example, the difference between the premium segment and discounters is extremely significant:
- Kyiv Region: the premium segment sells gasoline at an average of 12.5% more expensive than discounters. The difference between the Middle Class and Discounters is 7.3%.
- Maximum Gap: in the Zaporizhzhia Region, the premium segment costs 20.4% more than what discounters offer.
- Other Regions: the gap is 15.2% in the Lviv Region, 13.3% in the Vinnytsia Region, and 14.0% in the Dnipropetrovsk Region.
| Region | Difference (Premium vs Discounters), % | Difference (Middle Class vs Discounters), % |
| Zaporizhzhia | 20.4% | 13.6% |
| Lviv | 15.2% | 6.5% |
| Dnipropetrovsk | 14.0% | 7.4% |
| Vinnytsia | 13.3% | 4.5% |
| Kyiv | 12.5% | 7.3% |
Price Differences for Diesel Fuel
A similar significant difference is observed in the diesel fuel market, confirming the systemic impact of MSBs:
- For instance, in the Ivano-Frankivsk Region, the premium class costs 11.8% more than discounters.
Overall, the difference across operator classes nationwide is stable and significant, indicating that MSBs keep the price level ~12-15% lower than the largest networks.
The Situation in the Liquefied Petroleum Gas (LPG) Market
An analysis of the autogas market has also revealed significant price discrepancies among operators. Given that autogas remains the cheapest type of fuel and its consumption has increased due to cost-saving measures, MSBs (small and medium-sized businesses) are a critical restraining factor in setting the final price.
According to monitoring data, the difference between the maximum price (Premium Class) and the minimum price (Discounter) for autogas in key regions can exceed 10%.
This means that, as with gasoline and diesel fuel, affordable offers from MSBs prevent large networks from unreasonably inflating the margin on this socially important type of fuel.
The Role of MSBs and the Threat to Consumers
The results of the FEBA study confirm the Association’s key message:
- MSBs as a Price Anchor: discounters are the main element of market competition. They force premium networks to lower their margins, which is a direct protection of consumer purchasing power.
- Inflation Risk: FEBA emphasizes that the displacement of discounters will inevitably lead to an increase in the market power of large networks.
- Monopolization → Price Increase: eliminating price pressure from MSBs will allow the premium sector to increase margins, which will cause fuel prices to rise and trigger an inflationary spiral in the country.
The study clearly proves that the development of MSBs is not just an issue of entrepreneurship but also a vital factor in protecting consumer rights against excessive market power.
