Fuel prices in the UAE are set to increase in July 2025, with a 12 fils rise for all types of gasoline and an 18 fils increase for diesel, as per the government's pricing committee.

Fuel prices in the United Arab Emirates are set to rise in July 2025, with gasoline prices increasing by 12 fils across all categories and diesel by 18 fils. This marks a notable change from the current rates in the country.

The price adjustments, approved by the Gasoline and Diesel Price Monitoring Committee composed of fuel supply companies 'ADNOC, ENOC, Emirates' and representatives from the Ministry of Energy and Infrastructure and the Ministry of Finance, reflect a slight increase in fuel rates for the upcoming month.

The price of "Super 98" gasoline will rise by 4.6%, amounting to an increase of 11 fils, setting the new price at AED 2.70 per liter, up from AED 2.58.

"Special 95" gasoline will see a 4.5% increase, translating to a 12 fils rise, making it AED 2.58 per liter, compared to the current AED 2.47.

The "E-Plus 91" gasoline will have a 5% hike, reaching AED 2.51 per liter from the current AED 2.39.

Diesel prices will increase by 18 fils per liter, exceeding a 7% rise, bringing the cost to AED 2.63 from AED 2.45.

Why Fuel Prices Were Liberalized in August 2015

In August 2015, the UAE's Ministry of Energy and Infrastructure adopted a policy of liberalizing fuel prices, aligning them with global market rates. This included both gasoline and diesel.

The decision supports the national economy, conserves natural resources, and encourages fuel efficiency, aligning with the UAE's vision for a sustainable future and green growth initiatives.

The new pricing mechanism considers multiple global markets and allows fair profitability to distribution companies, reducing their losses and enhancing service quality.

A monthly review of these prices is conducted by the price monitoring committee, involving stakeholders from the Ministry of Energy and Infrastructure, Ministry of Finance, 'ADNOC Distribution', 'ENOC', and 'Emarat'.

A Policy That Encourages Consumption Efficiency and Electric Vehicles

The UAE's fuel pricing policy aims to prompt efficient fuel usage and protect natural resources for future generations. It also encourages the adoption of environmentally friendly transportation options, influencing consumer behavior towards fuel-efficient vehicles and speeding the introduction of electric and hybrid vehicles into the market.

Gasoline cost constitutes only 3 to 4% of an individual's income in the UAE, a reasonable and globally comparable proportion, ensuring the policy does not significantly impact living costs.

Since its implementation in 2015, the policy positively impacted the investment climate in the UAE, enhancing its economic competitiveness, fostering a free market economy with minimal government intervention, and promoting a sustainable economy. This has increased the country's attractiveness to foreign investments, offering a sophisticated legislative environment, developed infrastructure, ease of doing business, free capital movement, and other competitive advantages.