The Ukrainian government is set to enhance its National Cashback Program by introducing a new feature that allows citizens to receive compensation for fuel purchases. This initiative comes in response to rising fuel prices, with funds being credited to designated cards for consumers.
President Volodymyr Zelensky announced the program aimed at consumers of diesel, gasoline, and autogas. It will operate through a cashback system designed to reimburse a portion of fuel expenses.
The specifics of the cashback mechanism will vary by fuel type. Notably, the compensation rates will not be uniform; different percentages will apply to various fuels. The program will offer up to 15% cashback on fuel purchases:
- 15% for diesel;
- 10% for gasoline;
- 5% for autogas.
According to Prime Minister Denys Shmyhal, the fuel cashback initiative will be available until May 1 at participating gas stations. Payments will be processed through the existing National Cashback Program, which currently serves 9.4 million citizens.
It is important to note that cashback for fuel will not be disbursed in cash. Instead, all accrued bonuses will be automatically credited to the same National Cashback card that citizens already use for compensation on domestic goods.
Restrictions will apply to the use of the fuel cashback, mirroring the rules of the primary program. Accumulated funds can be spent on the same categories of goods as the national cashback, including:
- Utility bill payments;
- Transactions at restaurants and stores;
- Transportation ticket purchases;
- Medical services;
- Donations to the Armed Forces of Ukraine or the purchase of military bonds.
Fuel prices in Ukraine have been on the rise, influenced by both global market dynamics and local factors. Following military operations by the U.S. and Israel against Iran, Brent crude prices surged above $100 per barrel.
Domestically, the situation is exacerbated by the fact that Ukraine imports approximately 85% of its light petroleum products due to the shutdown of its largest refinery. Increased demand among drivers, dwindling reserves, higher logistics costs, and reduced supply from European suppliers have also contributed to the price hikes.
The Antimonopoly Committee of Ukraine has requested explanations from major gas station networks regarding the price increases. According to the committee’s head, Pavlo Kyrylenko, demand for A-95 gasoline has surged by 40-70%, while diesel demand has increased by 60-140%, significantly affecting the market landscape.
The Ukrainian government is expanding its National Cashback Program to include fuel purchases as a response to rising prices. The initiative will offer varying cashback rates based on fuel type and aims to alleviate financial pressure on consumers.