The Greek government is facing growing pressure over rising fuel and food prices as lawmakers prepare to debate a temporary cap on profit margins in the energy and retail sectors. The measure is expected to be submitted for approval in parliament on March 19.
Officials in Maximos Mansion, the office of Prime Minister Kyriakos Mitsotakis, are closely monitoring the impact of price increases on household budgets, amid fears that inflation could undermine the government’s economic narrative of gradually improving incomes.
Profit Cap on Fuel and Supermarket Goods
The temporary measure, introduced through emergency legislation, places limits on profit margins for businesses in the fuel supply chain and applies to dozens of supermarket products.
Under the regulation, fuel stations are allowed a maximum profit margin of €0.12 per liter, while fuel trading companies are capped at €0.05 per liter. The measure also covers 61 basic supermarket items and is scheduled to remain in effect until June 30, 2026.
However, the plan has already sparked criticism from fuel station owners, who question its effectiveness and argue that profit margins at oil refineries should also be examined. Industry representatives have warned of possible mobilizations and claim fuel prices could soon rise further, with unleaded gasoline potentially exceeding €2 per liter in urban areas within days.
Political and Economic Concerns
Rising living costs remain one of the most sensitive issues for the ruling New Democracy party, according to recent opinion polls. Inflation and household income pressures continue to rank among the public’s top concerns and attract criticism of government policy.
Government officials say the price cap is only one part of a broader strategy and that additional support measures could be considered if the crisis deepens. The situation is closely linked to geopolitical developments, particularly ongoing hostilities in the Middle East, which continue to affect global energy markets.
Focus on EU-Level Decisions
Athens is also looking toward the upcoming European Council meeting of March 19–20, 2026 in Brussels, where European leaders are expected to discuss competitiveness and the broader economic consequences of conflicts in Ukraine and the Middle East.
Greek officials hope the European Union may consider more flexible fiscal rules or coordinated action if energy prices continue to climb.
Finance Minister and Eurogroup President Kyriakos Pierrakakis said authorities are monitoring developments in oil and natural gas markets before deciding on further interventions.
“The duration and scale of the crisis will determine the nature of any additional measures,” he said, emphasizing that the government is prepared to act if needed to support households and businesses.