UAE announces January fuel prices amid potential petrol reductions
The United Arab Emirates is preparing to announce the updated pricing of fuel and diesel in January 2024. One important factor in ensuring that local gasoline costs are in line with worldwide variations is the gasoline Price Committee, which has lately lowered prices for two consecutive months.
2023 Fuel Dynamics
In 2023, petrol prices experienced fluctuations, reaching a peak of Dh3.44 per litre for the Super 98 in October. However, January 2023 witnessed the lowest prices, with Super 98 selling at Dh2.78 per litre. The Committee's recent adjustments in December brought down prices for Super 98, Special 95, and E-Plus 91 by approximately 7 fils, settling at Dh2.96, Dh2.85, and Dh2.77 per litre, respectively.
Global Context
Globally, the Brent price averaged $77.34 in December 2023, showing a decrease from November's average of around $82 per barrel. Notably, Brent mostly traded in the $80s per barrel range in December and the $70s in November, indicating a decline in prices during December. The year concluded with Brent closing at $77.04 per barrel on Friday, marking a 0.14% decrease and an overall decline of over 10% throughout 2023.
Monthly Adjustments
Since the UAE deregulated oil prices in 2015, local retail petrol prices undergo monthly revisions to stay in line with global rates. The Fuel Price Committee evaluates various factors, including international market dynamics and fluctuations in crude oil prices, to determine the adjustments.
Anticipation for January
Residents of the United Arab Emirates are excitedly awaiting the conclusion of the year to see if they will be given a present of lower petrol prices. Anticipated shortly are the updated prices for the first month of 2024 by the Committee, which is well-known for its monthly declarations.
The ongoing commitment to align local fuel prices with global market trends reflects the UAE's approach to ensuring transparency and responsiveness to the dynamic nature of the oil market. The anticipation remains high among residents as they await the announcement that will influence fuel costs at the beginning of the new year.
