‘If I lower the price I close’: fuel station manager in western France defends €2.97 diesel price

The manager of a small fuel station in western France has defended charging almost €3 per litre for diesel - saying ‘if I lower the price, I close.”

The Avia station’s €2.97 per litre price recently appeared at the top of France’s official fuel price-tracker database, making it the most expensive place to buy diesel in the country.Manager Stéphane Yattou told The Connexion that the price reflects the reality of running a small independent petrol station.

“I just cannot match the prices of supermarkets,” he said, pointing to the purchasing power from which big retail chains benefit and their ability to absorb lower margins. 

Several supermarket chains have applied cuts of up to 30 cents per litre at forecourts since March 12, widening the gap with independent stations.

Mr Yattou, whose independent station is in the village of Vasles in the Deux-Sèvres, said he has faced criticism from customers over the price.

It comes as diesel prices across France have surged, reaching an average of around €2 per litre in early March after rising by roughly 26 cents in just over a week.

The rise follows a jump in global oil prices linked to tensions in the Middle East and the closure of the Strait of Hormuz, a key route for international oil shipments.

In response, France, along with other members of the International Energy Agency (IEA), has agreed to release 14.5 million barrels from its strategic reserves. 

However, analysts say this will have a limited impact on the price of petrol.

Petrol prices around France

Around 2,000 service stations in France are now charging more than €2 per litre for diesel, according to government figures.

Around 55%-60% of this price is made up of taxes, namely VAT (20%) and the Taxe intérieure de consommation sur les produits énergétiques fuel tax.

Petrol prices remain lower, with SP95 averaging about €1.80 per litre, although some stations have also crossed the €2 mark.

Fuel prices vary widely between regions and even between neighbouring stations.

Rural operators in particular say they struggle to compete with supermarket chains that use fuel as a loss leader to attract customers into stores.

Service station representatives say their margins are minimal with stations typically earning just a few cents per litre after costs.

Authorities have also stepped up checks on petrol stations amid the price surge. Anti-fraud investigators inspected more than 200 stations this week and found pricing irregularities at roughly one in six sites.

Trade minister Serge Papin said about 6% of stations inspected would face fines after allegedly displaying lower prices online than those charged at the pump. 

Companies found guilty of abuse risk penalties of up to €300,000.

The government says stations remain free to set prices, but competition should regulate the market.

Meanwhile, some large operators have attempted to limit price rises. 

TotalEnergies announced a temporary cap introduced on March 13 of €2.09 per litre for diesel and €1.99 for petrol across its network of around 3,300 stations in mainland France.