The United Arab Emirates has officially announced another fuel price update, effective from February 1, 2025, Emirates 24|7 has reported. According to the government’s Fuel Price Regulatory Committee, gasoline and diesel prices in the country have increased by 12-14 fils per liter compared to January. The decision was the result of a monthly market review based on global oil prices and logistics, supply and retail costs.
The increase followed a pause in price changes in January, when fuel prices remained unchanged for the second consecutive month. At the same time, even with the new tariffs, prices remain more than 7% lower than in February 2024, reflecting the general trend of stabilization in the oil market amid slowing global demand.
New petrol and diesel prices: how the rates have changed
Starting from Saturday, February 1, 2025, the following updated retail fuel prices are in effect nationwide:
- Super 98 petrol: 2.74 dirhams per liter, up 13 fils from January (2.61 dirhams).
- Special 95 petrol: 2.63 dirhams per liter, also up 13 fils (previously 2.50 dirhams).
- E-Plus 91 petrol: 2.55 dirhams per liter, up 12 fils from the previous month (2.43 dirhams).
- Diesel: 2.82 dirhams per liter, the biggest increase of 14 fils compared to January (2.68 dirhams).
All of the above prices already include the 5% value-added tax (VAT), which is stipulated by UAE law. According to experts, such an increase in tariffs is due to the gradual recovery of oil prices on world markets, where since the beginning of the year there has been an increase in demand in Asia and expectations of a reduction in production by OPEC+.
Why the price is changing: a monthly regulation system
For ten years, the UAE has consistently adhered to a deregulated fuel pricing model, which was introduced in 2015. This means that the state does not subsidize fuel, and prices are formed based on the market price of oil, operating costs and logistics. The final decision is made monthly by the Committee with the participation of representatives of the Ministry of Energy and Infrastructure, as well as key players in the country’s petroleum products market.
Thanks to this approach, consumers have access to a transparent pricing policy that corresponds to the dynamics of the international market. At the same time, it stimulates energy efficiency, investment in alternative fuels, and sustainable development of the transport sector. Pricing is reviewed at the end of each month, and new tariffs are effective from the first of the following month.