Poland faces rising costs in fuel, heating, and construction

Poland is experiencing significant price shifts across several essential sectors. In the energy market, the government has partially reinstated the ‘Lower Fuel Price’ package, which includes maximum retail price limits for gasoline and diesel, alongside a reduced VAT rate of 8% effective until August 31. While diesel prices have seen recent decreases, gasoline limits have risen.

Heating costs are also under pressure, particularly for those using pellet. Prices for certified A1 pellet have surged, with some retail offers reaching between 2,200 and 2,600 PLN per ton. This has led to increased consumer interest in alternatives, such as using oats as a fuel source. Additionally, coal prices remain high, typically ranging from 1,500 to 1,800 PLN per ton.

In the construction sector, the cost of building a single-family home has surpassed 6,000 PLN per square meter in the second quarter of 2026, driven by rising labor and material costs. Meanwhile, retail inflation is showing signs of slowing, with the growth rate of consumer prices decreasing compared to previous months, though experts warn of potential autumn rebounds due to agricultural and geopolitical factors.