Oil prices dip again in 2025 offering some relief to Donegal homeowners

Households across Donegal saw further relief in heating oil costs in 2025, with prices continuing their steady decline following the dramatic surges of recent years.

According to price-tracking website Oilprices.ie, the average cost of 1,000 litres of kerosene heating oil in Donegal fell by 6% in 2025, dropping from €990.67 in 2024 to €930.28, a saving of more than €60 over the year. The price of 500 litres also fell by 6%, down from €510.20 to €481.76, resulting in a saving of €28 for households on a smaller delivery.

The latest figures confirm a national trend, with heating oil prices continuing to ease after the unprecedented increases of 2021 and 2022. Those years saw prices surge by 50% and 84% respectively, driven by COVID-19 supply disruptions and the Russian invasion of Ukraine.

Nationally, the average price of 1,000 litres of kerosene has fallen from €1,250 in 2022 to €936 in 2025, representing a 25.12% drop over three years.

In 2025 alone, the national average price for 1,000 litres dropped from €998 to €937, while the price for 500 litres fell from €511 to €480, both representing declines of 6%.

Prices fluctuated throughout 2025. Heating oil started the year at elevated levels, with 1,000 litres costing €993 in January and peaking at €1,001 in February. The lowest point came in May, when prices dipped to €878, before rising again during the summer months and ending the year at €945 in December.

A similar pattern was seen for 500-litre fills, which bottomed out in late spring before rising again as winter approached.

Donegal consumers also saw noticeable variation in prices depending on supplier and timing throughout the year. For 1,000 litres of kerosene, the lowest prices in the county ranged from €881 in May and June to €943 in January, while average prices moved between a low of €885 in May and a high of €990 in February. 

At the top end of the market, the highest prices paid in the county ranged from €894 in May to just over €1,000 in January, highlighting the potential savings available to households that were able to shop around or purchase during quieter months.

A similar spread was seen for 500-litre deliveries, which are commonly used by Donegal households for smaller refills. The lowest prices ranged from €454 in May and June to €506 in February, while average prices varied between €456 in May and €512 in February. 

The highest prices for 500 litres peaked at €520 during the winter months, before falling back to €462–€477 during the late spring and summer period. The figures underline how timing and supplier choice could make a difference of €40–€60 over the year for Donegal households.

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While Donegal prices remained close to the national average, some counties fared slightly better or worse. County Louth recorded the lowest average price in 2025, at €920 for 1,000 litres, while County Kerry had the highest average, at €947.

While prices have been trending downward, experts warn that global factors could yet apply upward pressure. The ongoing conflict between Ukraine and Russia, along with sanctions on Russian oil, continues to influence markets. Ukraine has also stepped up attacks on Russian energy infrastructure.

At the same time, OPEC has reduced oil output by millions of barrels per day amid predictions of global oversupply. This policy is unlikely to change before July 2026, potentially leading to further short-term price reductions followed by increases later in the year.

For now, however, Donegal households dependent on kerosene heating can take some comfort in another year of falling prices, a welcome change after several difficult winters.