ABU DHABI // Petrol prices will next month drop to almost the same level they were at before the fuel market was liberalised.
The Fuel Price Committee of officials from the Ministry of Energy and the two main distribution companies, Adnoc and Enoc, on Monday announced price reductions for all types of petrol, but the price of diesel will increase slightly.
In July, before deregulation, 95 Octane was Dh1.72 a litre. Next month it will be Dh1.79.
E-plus (91) will fall to Dh1.72 from Dh1.89 a litre, and Super (98) to Dh1.90 from Dh2.07.
But diesel will rise to Dh1.89 a litre from Dh1.86.
Daniel Whiffin from the UK said he did not expect a second price decrease after the initial rise for last month.
“I’m pleasantly surprised,” Mr Whiffin said. “I wasn’t expecting prices to go down as quickly as they have. I thought they would be going up a lot more before they came down again.”
He said he drove up to 400 kilometres a week but the Government’s pricing policy had little effect on his budget.
Petrol prices rose by 24 per cent and diesel dropped 29 per cent for last month after the Government liberalised them.
The price is set each month by the committee, which takes into account the international price of oil and refining costs.
Emirati Saif bin Adhed, 30, believed the prices have had little effect on most residents.
“For people making normal wages it’s not a problem, but for people on minimum wages it is,” Mr bin Adhed said.
He said that when prices rose last month the cost to fill his Nissan Patrol increased by only Dh20. Any decrease would also have little effect.
The Government wants to make fuel-efficient cars more attractive and decrease the number of cars on the road.
But Mr bin Adhed said fuel prices would have to reach European levels to make a difference, given the UAE’s car culture. And he said the public transport system could not support a mass migration to it.
“Before the price goes up again they need to start thinking about the consequences,” he said.
esamoglou@thenational.ae
