Fuel & driving
Iceland gas prices
See what you will pay at the pump. Posted self-service prices for 95-octane petrol and diesel across Iceland's main fuel chains, for planning your fuel budget.
Petrol and diesel prices
Prices are in Icelandic króna per litre and exclude loyalty-app discounts.
| Fuel chain | Type | Petrol 95 | Diesel | Note |
|---|---|---|---|---|
| N1 | Full-service | 228.9 ISK/L | 248.9 ISK/L | Largest network; N1 app/lykill ~10 ISK/L lower |
| Olís | Full-service | 227.8 ISK/L | 245.8 ISK/L | App discount ~10 ISK/L lower |
| Orkan | Full-service | 226.2 ISK/L | 243.9 ISK/L | Skeljungur's retail brand; Orkulykill ~12 ISK/L lower |
| ÓB | Discount/self-service | 226.3 ISK/L | 244.1 ISK/L | N1's unmanned self-service arm (Ódýrt Bensín) |
| Atlantsolía | Discount/self-service | 213.3 ISK/L | 233.0 ISK/L | Independent low-cost; ~15 ISK/L below N1 |
| Costco | Discount/self-service | 180.3 ISK/L | 204.6 ISK/L | Members only; one station (Garðabær); cheapest in Iceland |
| Typical national price | Representative | 226.0 ISK/L | 244.0 ISK/L | Modal posted price across the station dataset, not a mean of the chains above |
Ready to budget a route? Use these prices in the fuel calculator, then check likely mileage with the driving-distance tool.
How Iceland fuel pricing works
The major chains post essentially uniform nationwide prices, generally around 226–229 ISK/L for petrol in this snapshot. Travellers outside the capital therefore do not usually pay a separate countryside premium; they mainly lose access to the capital area's cheapest price-war stations.
A chain's loyalty app or key typically takes around 10–12 ISK/L off the posted price. Independent Atlantsolía is roughly 15–16 ISK/L below the priciest major chain, while members-only Costco can be about 45–48 ISK/L lower. Genuinely remote independent or Highland stations outside this dataset may charge more.
Icelandic self-service pumps normally require a chip-and-PIN card. Debit cards usually work, but US chip-and-signature cards are often declined. If necessary, buy a prepaid fuel card at a manned till before travelling into less-served areas.
Diesel costs more than petrol in Iceland—about 18–24 ISK/L more in this snapshot. Account for that difference if your rental SUV or 4x4 uses diesel.
2026 price context
Fuel prices fell sharply after a New Year 2026 fuel-tax reform, dropping from end-of-2025 highs of roughly 308–313 ISK/L to a January low around 183–215 ISK/L. Prices had risen back to roughly 226 ISK/L by July. Treat this as trend context only: the dated table above remains a manual snapshot rather than a live quote.
Frequently asked questions
- How much is petrol or gas in Iceland?
- The representative posted self-service price checked on 2026-07-10 was 226 ISK per litre for 95-octane petrol and 244 ISK per litre for diesel. This is a weekly manual snapshot, not a live quote, and individual station prices can vary.
- Is there a temporary VAT cut on fuel in Iceland?
- Between 1 May 2026 and 31 August 2026, Iceland temporarily cut VAT on petrol and diesel from 24% to 11% to ease inflation, which lowered pump prices by roughly a tenth at most chains. The standard rate applies again from 1 September 2026.
- Where is the cheapest fuel in Iceland?
- Costco in Garðabær had the lowest listed prices, but it requires membership and has only one Icelandic station. Atlantsolía was the lowest non-membership chain in this snapshot. These cheaper options are concentrated in the capital area, while major chains generally post similar prices nationwide.
- Do I need a special card to fuel up in Iceland?
- Self-service pumps generally require a chip-and-PIN payment card. Debit cards usually work, but US chip-and-signature cards are often declined. A prepaid fuel card bought at a manned till, such as an N1 tourist card, is a useful fallback.
- Is diesel cheaper than petrol in Iceland?
- No. In this snapshot, diesel was about 18–24 ISK per litre more expensive than petrol at the listed chains. This matters when budgeting for diesel rental SUVs and 4x4s.
- Is fuel more expensive outside Reykjavík?
- Major chains generally use nearly uniform national prices, so countryside travellers do not usually pay a separate regional premium. They do miss capital-area low-cost options such as Costco and some Atlantsolía stations. Genuinely remote independent or Highland stations outside this dataset may charge more.