Iceland is famously expensive, and fuel is no exception. Here are the real per-unit numbers as of mid-2026, plus what they translate to on actual Iceland trips.
Per-unit pricing (April 2026)
- Petrol (95 oktan): ~320 ISK/L (≈ €2.20/L)
- Diesel: ~310 ISK/L (≈ €2.13/L)
- EV fast charging: 65–80 ISK/kWh (≈ €0.45–0.55/kWh) at networks like ON, N1, Orkan, Ísorka.
- EV AC charging at hotels: often free or 10–25 ISK/kWh.
Petrol prices have stayed flat for ~18 months; EV charging prices ticked up about 8% in early 2026 as networks reduced introductory pricing.
Cost per 100 km (typical mid-size car)
- Petrol @ 7 L/100 km × 320 ISK = ~2,240 ISK / 100 km
- Diesel @ 5.5 L/100 km × 310 ISK = ~1,705 ISK / 100 km
- EV (fast charging) @ 18 kWh/100 km × 70 ISK = ~1,260 ISK / 100 km
- EV (hotel AC) @ 18 kWh/100 km × 15 ISK = ~270 ISK / 100 km
Even paying full rate at fast chargers, an EV is roughly 45% cheaper per km than petrol.
Ring Road loop (1,332 km) total fuel cost
- Petrol: ~30,000 ISK
- Diesel: ~22,700 ISK
- EV (mostly fast charging): ~16,800 ISK
- EV (mix of AC at hotels + fast): ~10,000 ISK
Where you actually pay more in an EV
- Cold + wind: winter consumption can hit 22–25 kWh/100 km, eating ~20% of the savings.
- Steep mountain sections: regen helps on the way down but not enough to offset the climb.
- Long-stretches in the East/Westfjords: sometimes the only nearby charger is at peak rate (~80 ISK/kWh).
Where to fill up cheapest
For petrol/diesel: Atlantsolía, ÓB, and Costco Garðabær are usually the cheapest brands. Costco requires a membership but the saving (~20–30 ISK/L) pays back fast on a long trip. For EV: AC chargers at hotels and Reykjavík parking garages are the bargain — 10–20 ISK/kWh is common.
Bottom line
If you're comparing rental options purely on running cost: an EV is the cheapest option for almost any Iceland itinerary, even paying full fast-charge rates. The break-even vs petrol or diesel happens within the first 2–3 days of a typical road trip. Where it gets murky is the daily rental cost (EVs run 10–20% higher) and time spent charging (an extra ~2 hours of stops on a Ring Road loop). For most travellers, the savings + the cleaner ride make the EV the better deal.
To plan your charging stops, see the full station list or the network-specific pages for Tesla, ON Power, and N1.