On Sunday, as global oil prices rose because of the scrape in the oil-producing countries’ output, the UAE also increased its retail petrol prices by around five percent for May 2023.
In April, the UAE, Russia, Kazakhstan, Algeria, and other GCC countries declared a surprise cut in oil production of 1.64 million barrels daily to propel higher oil prices.
For May 2023, Super98 petrol will cost Dh3.16 a liter, up from Dh3.01 in April. Similarly, the Special95 petrol price has increased from Dh2.90 to Dh3.05 per liter, and E- Plus increased from Dh2.97 liter to Dh2.82.
The modified rates for May are the highest in 2023, which will increase the transportation cost and motivate people to use public transport more often.
Besides, the UAE deregulated retail fuel prices in 2015 and combined them with the global oil rates. Hence, rates are modified at the end of every month to integrate with international prices to reduce the burden on local fuel retailers.
Petrol prices spiked in the middle of the last year when global oil prices jumped after the Ukraine – Russia war, which crossed Dh4.5 a liter.
Despite the local prices hitting the highest this year, they are still much cheaper than the global average of Dh4.87, which will be in April 2024.
Meanwhile, the diesel prices also decreased by file to Dh2.19/a liter fit May, which will help to bring down the transportation costs of consumer goods, resulting in groceries costing less for residents in May.
