Motorists across the United Arab Emirates are bracing for increased costs at the pump as the UAE Fuel Price Committee has announced higher petrol and diesel prices for February 2025. From February 1, motorists will see the per litre rates rise, marking the end of two months of price stability following the lowest fuel costs during December 2024 and January 2025. According to the official announcement made on January 31, 2025, the new rates reflect adjustments due to fluctuations in global oil prices and operational costs for distribution companies.
Effective Saturday, February 1, the approved prices are as follows: Super 98 petrol will now cost AED 2.74 per litre, up from AED 2.61 the previous month. Special 95 petrol will be priced at AED 2.63, compared to AED 2.50 last month. E-Plus 91 is now AED 2.55 per litre, rising from AED 2.43. Diesel will be priced at AED 2.82 per litre, increasing from AED 2.68.
The decision to raise fuel prices is part of the UAE's broader strategy to align local rates with global market trends. Since the liberalization of fuel pricing in 2015, the Ministry of Energy has been tasked with setting prices on a monthly basis, based on the average global oil prices, reflecting operational costs and other economic factors. This month marks the first price rise after two months of unchanged rates, which had set new lows at the start of 2025.
Last December, the UAE saw its lowest petrol prices yet for 2024, with Super 98 dropping to AED 2.61, and the same prices remained through January. After this brief period of price stability, residents and motorists are now faced with the reality of paying more at the pump. Each petrol price increase puts additional financial strain on households, with experts stating fuel prices can significantly impact overall living costs.
According to the committee’s recent report, the increase is attributed to international oil price changes. These adjustments now mean consumers will pay between AED 6.12 and AED 9.62 extra to fill their fuel tanks, depending on the vehicle type. For example, compact cars with average fuel tank capacities will experience lesser increases compared to larger sedans and SUVs.
Drivers will clearly notice the shift. Specific calculations suggest the average compact car, with its 51-litre tank, will incur additional costs of approximately AED 31.74 for super petrol compared to January prices. Meanwhile, filling up larger vehicles will lead to even steeper rises, especially if they have capacities nearing 74 litres.
Meanwhile, historical data reveals fluctuates pricing trends. For reference, the petrol prices averaged for the previous 13 months are now seen as relatively stable compared to February 2024. Super 98, for example, was AED 2.82 at the beginning of 2024; so, even with the recent increase, the price remains more than 7% lower year-on-year.
This changing tide signals shifting economic landscapes as the government continues to promote alternative energy sources and public transportation use as part of its sustainability initiatives. The fuel price scheme embodies efforts to moderate demand for petroleum products, encouraging residents and stakeholders to invest more heavily in eco-friendly transport solutions.
Experts within the UAE are watching the oil market closely, anticipating possible future fluctuations. The monthly adjustments are becoming routine, yet they undeniably reflect the larger narrative of dependency on global oil markets. Consumers often find themselves caught between these fluctuations, with calls for greater transparency and stability echoing from within the community.
The recent announcements have sparked mixed reactions among the populace. While some understand the necessity for these adjustments within the global oil framework, others are apprehensive about how these price changes will affect their daily lives, particularly as many residents rely heavily on personal vehicles for transportation.
Looking ahead, it remains to be seen how these price changes will alter consumption patterns. Are residents likely to embrace public transportation initiatives more fervently? Will electric and hybrid vehicles gain momentum as more compelling options against rising fuel prices? Time will tell how these factors play out against the backdrop of current economic conditions.
Despite the increase and the consequent economic pressures, there remains optimism as residents adapt to changing circumstances. The UAE continues to be resilient, maneuvering its way through fluctuational challenges, reinforcing its commitments to progressive energy initiatives and sustainable practices.
Every month, the Fuel Price Committee will assess and update these rates, ensuring they stay relevant to the current economic climate. Residents will be eager to see if the upcoming months will bring more increases or perhaps some relief as global oil prices change again.
For now, drivers need to prepare for the upcoming hikes. Commuting and transporting goods will undoubtedly feel the pinch, shaping spending habits for the month of February as residents adjust to the new normal at the fuel station.