Current petrol retail price not viable: Enoc
Company expects loss of Dh2.7 billion this year
A statement released by the Emirates National Oil Company (Enoc) on Saturday, stated that: “The current scenario, where Enoc has to bear the burden of higher international fuel prices while at the same time distributing fuel at subsidised rates, is clearly not sustainable or viable for the company.”
The statement made by an Enoc spokesperson also added, “The cost of providing subsidised fuel to our customers is expected to lead to a loss of Dh2.7 billion for the company this year. This also has a serious impact on our ability to expand our retail network to meet the growing demand.
“With the summer months over, demand for fuel across the Enoc and Eppco stations in Dubai has increased significantly. Enoc’s retail network across Dubai currently witnesses the heavy rush of motorists, especially during peak hours.”
The statement added that the substantial rise in the price of fuel in the international markets – the highest ever recorded since 2008 – has put a severe burden on Enoc and Eppco, which for many years have distributed and continue to distribute fuel to end-users at a highly subsidised rate.
“Very few stations have been added in Dubai recently and a number of stations had to be closed to undertake infrastructure development work. Enoc looks forward to the support of the concerned authorities in addressing the concern,” the statement added.