UAE fuel prices: Will petrol, diesel prices be affected in July after OPEC cuts? – information

Any fluctuations in global rates are reflected directly in the local market as the fuel price follow-up committee revises prices monthly

UAE and other oil producers cut output to 40.46 million barrels per day Until the end of the year, global oil prices soared. This is the second production cut by an OPEC+ member in the past two months. On April 2, oil-producing countries announced an unexpected production cut of 1.64 million barrels per day.

Oil prices were at five-week highs on Monday morning after oil producers announced output cuts that will take effect on July 1, 2023.

WTI crude traded at $72.63 a barrel, up 1.24%, while Brent rose 1.13% to $76.99 a barrel on Monday morning, helped by the OPEC+ decision.

Since the UAE deregulated fuel prices in 2015, any fluctuations in global rates have been directly reflected in the next month’s local rates, which are revised monthly by the Fuel Price Tracking Committee.

for month June, retail gasoline prices In all three variants of the Super 98, Special 95 and E-Plus, 21 Phil per liter was reduced, bringing them to lowest level in four monthsCurrently, Super 98 petrol is priced at Dh2.95 per liter, Special 95 at Dh2.84 per liter and E-Plus 91 at Dh2.76 per liter.

In April 2023, when oil producer OPEC+ cut production, global gasoline prices rose, so did retail prices in May in the UAE. The Fuel Price Tracking Committee raised prices for all three models (Super 98, Special 95 and E-Plus) by 15 fils/liter for May.

Considering that local oil prices are in line with international oil prices and the impact of production cuts in April on oil prices, if global oil prices remain at a high level in June, oil prices in July may be adjusted upwards. However, the final decision will most likely be announced by the Fuel Price Follow-up Committee on Friday 30 June.