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
Source prices are recorded in Icelandic króna per litre. The table follows your selected currency and excludes loyalty-app discounts.
| Fuel chain | Type | Petrol 95 | Diesel | Note |
|---|---|---|---|---|
| N1 | Full-service | $2.36/L | $2.72/L | Largest network; a few stations post lower prices |
| Olís | Full-service | $2.35/L | $2.68/L | App discount available at the pump |
| Orkan | Full-service | $2.32/L | $2.64/L | Skeljungur's retail brand; some capital-area stations post lower prices |
| ÓB | Discount/self-service | $2.32/L | $2.66/L | Unmanned self-service (Ódýrt Bensín); some capital-area stations post lower prices |
| Atlantsolía | Discount/self-service | $2.32/L | $2.65/L | Independent; some capital-area stations post lower prices |
| Costco | Discount/self-service | $2.00/L | $2.38/L | Members only; one station (Garðabær); cheapest in Iceland |
| Typical national price | Representative | $2.32/L | $2.66/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 to 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 to 12 ISK/L off the posted price. Independent Atlantsolía is roughly 15 to 16 ISK/L below the priciest major chain, while members-only Costco can be about 45 to 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, by about 18 to 24 ISK/L in this snapshot. Account for that difference if your rental SUV or 4x4 uses diesel.
Looking for a station rather than a price?
This page answers what fuel costs. If what you need is where the nearest pump is, the petrol station finder maps every station recorded in Iceland, sorts them by distance from where you are standing, shows which run 24 hours, and carries the same dated prices from this table against each station's chain.
2026 price context
Fuel prices fell sharply after a New Year 2026 fuel-tax reform, dropping from end-of-2025 highs of roughly 308 to 313 ISK/L to a January low around 183 to 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 2026-10-09 was $2.32 per litre for 95-octane petrol and $2.66 per litre for diesel. This is a weekly manual snapshot, not a live quote, and individual station prices can vary.
- Is VAT on fuel still reduced 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 at most chains. That cut has ended: 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. Among the other chains, the usual posted prices were close together; the lower prices are at a minority of stations, mostly in the capital area, where several chains post below their usual price.
- 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 $0.15 to $0.20 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.
Guides that go with this tool
- Driving in Iceland: Ring Road, speed limits and F-roadsDriving in Iceland covers the paved Ring Road, a 90 km/h open-road limit, single-lane bridges, and F-roads that require a 4x4.
- Iceland Trip Cost: What Actually Drives the TotalIceland trip cost depends on six lines, not one average. Here is what drives each, which costs split between people, and how to build your own number.
- Driving Iceland's Ring Road: The Complete Route 1 GuideIceland's Ring Road is Route 1, a loop of more than 1,300 km completed in 1974. Here are the key route facts, road rules, and trip length guidance.