Following the attack on Iran over the weekend, oil markets are reacting nervously. Prices rose significantly at the beginning of the week, and the effect was immediately noticeable at German gas stations. According to media reports, gasoline and diesel prices rose noticeably within a few days.
Market observers point out that geopolitical escalations in the Middle East traditionally have a direct impact on oil prices and thus on fuel costs for consumers and businesses.
Germany remains highly dependent on imports of fossil fuels. Rising oil prices are reflected in transport costs, logistics prices, and ultimately consumer prices. The current development shows once again how closely economic stability and global commodity markets are linked.
Gasoline consumption in Germany: A billion-dollar market
Road transport remains one of the largest consumers of oil. According to data from Statista, annual gasoline consumption in German road traffic was most recently around 15 billion liters per year.
Based on these 15 billion liters per year and an average price of 1.90 euros per liter, this results in a market volume of around 28.5 billion euros per year for fuel alone, a large part of which flows abroad. If the price rises by just 20 cents per liter as a result of geopolitical tensions, this means:
+3 billion euros in additional costs per year for consumers in Germany.
What does this mean for individuals? To make the scale more tangible, it is worth looking at a single person. According to the KBA, the average car in Germany drives around 12,000 to 14,000 kilometers per year. With a consumption of 7 liters per 100 kilometers, this corresponds to around 910 liters of gasoline per year. A price increase of 20 cents per liter would result in additional costs of around 182 euros per person per year. A 40-cent increase would mean over 360 euros per year, solely due to geopolitical tensions.
Of course, battery electric vehicles also consume energy. For the sake of a simplified comparison, however, we assume that all BEV drivers use only electricity from renewable sources.
A typical electric car requires about 18 kWh per 100 kilometers. With an annual mileage of 13,000 kilometers, this corresponds to 2,340 kWh of electricity per year. Even at an electricity price of 35 cents per kWh, this results in approximately 819 euros in energy costs per year. For comparison:
910 liters of gasoline at $1.90 per liter cost around $1,729 per year.
Difference: approximately $910 per year in savings for electric car drivers.
If the price of gasoline rises to $2.20 per liter as a result of geopolitical crises, the difference increases to over $1,200 per year.
Applying this saving to several million vehicles results in an economically significant effect. If, for example, 10 million cars were electric and powered by renewable electricity, the annual savings would be in the billions.
In addition, the value added would shift: instead of financing crude oil imports, spending would flow into domestic power generation, grid infrastructure, storage technologies, and charging infrastructure. This would reduce foreign trade dependencies and strengthen domestic industrial value chains.
The comparison between combustion engines and BEVs is not identical in all aspects. Electricity prices also fluctuate, grid fees and levies influence the total costs, and vehicle purchase or lower maintenance costs remain a relevant factor. Nevertheless, a pure energy cost analysis clearly shows:
Geopolitical crises make fossil fuel mobility more expensive, both for the economy as a whole and for individual households.
If tensions in the Middle East continue, pressure on fuel prices is likely to remain. For companies, fleet operators, and private households, this raises an important strategic question: How dependent do we want to be on global oil price shocks in the future? Current developments provide another argument for diversifying energy supply and mobility with the aim of increasing cost stability, predictability, and economic resilience.
