Will petrol prices in UAE increase, hit Dh4 a litre in May?
In April, oil prices largely remained in the high $90s with trading and above $100 a barrel amid the closure of the Strait of Hormuz and continued fighting across the region involving local military forces, as well as US- Israel –Iran military activity.
Crude prices, which had softened prior to the US-Iran ceasefire extension last week but jumped back above USD100 a barrel as both countries traded barbs on military preparedness.
UAE petrol prices are up significantly following raising of prices by the Fuel Price Committee 80 up by over one-third for April after oil soared in March following the Middle East war began February 28.
For April Super 98, Special 95 and E-Plus fuel for April at Dh3. 39, Dh3. 28 and Dh3. 20 per litre, respectively.
Its average closing price for Brent crude stood at $99.16 a barrel in April, up from $96.96 in March. That means there might be a little increase in fuel prices. But, the last word will be given by the committee, who will announce the new rateson April 30.
Because of the Russia-Ukraine war, petrol prices in the UAE increased to its highest ever level in history. In 2022, prices crossed Dh4 a litre for first time ever in the country.
Super 98 petrol rose to an all-time high of Dh4 in July 2022. For Special 95 Dh4 despite the previous prices to feed you up at: Super, Dh (63 million 95s) per litre. 52 per litre.
The closure of the Strait of Hormuz, which threatens about a fifth of world oil output and is surrounded by more countries producing oil than all the Gulf, has made an 'oil price shock' as severe as those in earlier times when turmoil erupted in the Middle East.
Since late February, demand and supply fell off a cliff as the overwhelming closure of the Strait of Hormuz has taken out 10-13 million barrels per day — or about 12 per cent of world output — in the most severe disruption to energy flows since an OPEC crisis in the 1970s.
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