Fuel price surge, SOCAR also steps in with cap on IP network

Azerbaijani state-owned company SOCAR announces a gradual price cap across the IP network after acquiring Italiana Petroli. From Monday, ENI filling stations will also apply a maximum price for petrol and diesel. SOCAR has announced a cap on petrol and diesel prices across the Italiana Petroli (IP) network in Italy. The Azerbaijani state energy company, which took control of the Italian group last May, has decided to step in on soaring fuel costs by setting a ceiling on the prices charged at filling stations. The mechanism will be rolled out gradually, starting with the IP-branded network. SOCAR has not yet specified what the maximum pump price will be: in a statement released on Sunday the company says the level of the cap will be set taking into account different needs and the economic sustainability of the supply chain. The company also plans to explore ways to extend the mechanism to Esso-branded stations and to other operators that buy fuel from IP and sell it under their own brands. Pressure on prices and company action SOCAR's move comes against a backdrop of severe tension over pump prices. The Ministry for Business and Made in Italy (MIMIT) publishes national averages every day, while the prices actually charged by individual retailers are tracked through the Fuel Prices Observatory. The issue is particularly acute for diesel, whose price has continued to feel the impact of turmoil on energy markets and bottlenecks along supply chains. SOCAR is not the only major company to have announced action on prices: ENI has also introduced a price-cap mechanism on its own network, in a context in which the government has asked operators to help limit the impact of expensive fuel on households and businesses. In SOCAR's case, the difference is that the measure comes just a few months after the acquisition of IP and therefore marks one of the first signals of the Azerbaijani group's new strategy on the Italian market. Italian foreign minister Antonio Tajani has welcomed SOCAR's decision to introduce a price ceiling, recalling that he had asked the firm to intervene on prices at the start of September. SOCAR, Azerbaijan's state oil company SOCAR is the State Oil Company of the Republic of Azerbaijan, the country's state-owned oil firm. The group operates across several stages of the energy chain, from oil and gas production to refining, logistics and retail. Its presence in Italy was strengthened in 2026 with the acquisition of Italiana Petroli, the group that owns the IP network. The deal was completed on 8 May, when SOCAR bought 99.82 percent of IP's share capital from API Holding. IP has a widespread presence across Italy and runs an integrated system that includes refining, storage and distribution activities. SOCAR's entry has therefore brought one of Italy's main fuel retail networks under the control of the Azerbaijani group. Fuels, prices on 27 September The announcement from the Azerbaijani company comes as fuel prices remain at high levels. According to the latest figures from the Fuel Prices Observatory of the Ministry for Business and Made in Italy (MIMIT), today, Sunday 27 September, the national average price in self-service mode on the ordinary road network is 2.159 euros per litre for petrol and 2.377 euros for diesel. On the motorway network the average rises to 2.254 euros per litre for petrol and 2.459 euros for diesel. MIMIT calculates national averages on the basis of prices reported by retailers and updates the data daily. The diesel figure is particularly striking: on the motorway network the average price is now close to 2.50 euros per litre. The price cap will start on the IP network The new mechanism announced by SOCAR will initially apply to IP-branded filling stations. The company says it wants to support both station managers and network operators, meaning those who run the installations, while taking into account the need to keep the entire supply chain in balance. The Azerbaijani firm explains that the maximum price will be set on the basis of differing requirements, with the stated aim of ensuring continuity along the supply chain and supporting households and businesses at a time of particularly high prices. The company will then examine how to extend the system to Esso stations and to other operators that are supplied by IP. Any extension could therefore cover a wider network than just the sites directly carrying the IP brand. SOCAR and its relationship with Italy The move on fuel prices also comes as SOCAR consolidates its ties with Italy beyond the energy sector. The Azerbaijani company has formally announced a strategic partnership with the Italian Football Federation (FIGC). The decision to introduce a cap on petrol and diesel prices across the Italiana Petroli network "confirms SOCAR's closeness to Italy, at a time when the Azerbaijani company is formalising a strategic partnership with the Italian Football Federation (FIGC), becoming the global energy partner of the men's and women's national football teams from 1 January 2027 to 31 December 2030, with the option of extending for a further two years," the company said in a statement.