UAE Fuel Prices Drop for November Despite Global Crude Rise

The UAE Fuel Price Committee has announced lower petrol and diesel rates for November, providing relief to motorists despite a significant upward trend in global crude oil prices throughout October. While international market volatility, driven by supply risks and shipping disruptions in the Middle East, pushed Brent crude futures to nearly $120 a barrel, the local pricing policy has resulted in a cost reduction effective from November 1. The announcement comes after a period of sustained pressure on global energy markets. Instead, the latest announcement confirms a reduction across all petrol grades and diesel from November 1. Even as Gulf producers have worked to maintain exports, shipping disruptions have increased freight costs and complicated the movement of oil through the region. Yet November’s reduction demonstrates that movements in crude prices do not translate directly into identical changes at UAE petrol pumps. A single day’s Brent price cannot establish the following month’s adjustment.

Market data from late Friday showed Brent crude futures for December rising by $2.92 to $117.80, marking a fourth consecutive month of gains. Or 2.54%, to $117.80 a barrel in late Friday trading, brent crude futures for December rose $2.92.

Similarly, the January contract climbed by $3.04 to $113.84, while US West Texas Intermediate advanced by $2.66 to $104.66. Despite these pressures, the committee’s decision reflects a broader methodology where retail pricing is determined by a combination of refined-product costs and regional market conditions rather than a direct, daily correlation with crude oil spot prices. While US West Texas Intermediate (WTI) advanced $2.66, or 2.61%, to $104.66, the more actively traded January contract gained $3.04 to $113.84.

November Fuel Price Breakdown

• Super 98: Dh4.16 per litre (down from Dh4.40)
• Special 95: Dh4.04 per litre (down from Dh4.28)
• E-Plus 91: Dh3.97 per litre (down from Dh4.21)
• Diesel: Dh4.75 per litre (down from Dh4.80)

Each petrol grade has seen a reduction of 24 fils per litre, while diesel prices have decreased by 5 fils. These adjustments follow a sharp price increase in October, during which petrol costs surged by approximately 16% compared to September figures. For an average motorist, filling a 60-litre tank of Special 95 will now cost Dh242.40, yielding a saving of Dh14.40 over the previous month’s rates. Diesel users will save Dh3 on a 60-litre purchase.

Despite this monthly relief, current fuel costs remain elevated compared to the levels seen in September. A 60-litre tank of Special 95 remains Dh21 more expensive than it was two months ago. However, the November reduction has helped widen the gap between current rates and the record-high prices observed in July 2022. During that period, Super 98 peaked at Dh4.63, Special 95 at Dh4.52, and E-Plus at Dh4.44. Down from Dh264, while E-Plus will cost Dh238.20, compared with Dh252.60, the same quantity of Super 98 will cost Dh249.60. The reduction translates into savings of Dh57.60, assuming fuel consumption remains unchanged, for motorists purchasing 240 litres of petrol monthly. Special 95, for example, cost Dh3.69 per litre in September, compared with Dh4.04 in November.

With the November adjustment, prices for Super 98, Special 95, and E-Plus are now 47, 48, and 47 fils lower than their respective July 2022 peaks.

In contrast, October’s pricing was only 23 to 24 fils below those historical highs.

The committee continues to monitor international energy conditions, with future reviews scheduled to determine potential shifts for December.

While the current reduction offers a reprieve, global uncertainty regarding Middle East shipments and the associated costs of logistics remain key variables for upcoming price evaluations.

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