Diesel hiked to Dh2.75 a litre

Fuel marketing companies – Emarat, Eppco and Enoc have increased diesel price in the UAE by 15 fils,  increasing the fuel cost further.

Adnoc which had announced an increase in diesel price earlier, did not make any change in its current retail pricing.

Diesel per litre price has risen from Dh2.60 to Dh2.75 in last couple of days, widening the price differential by more than Dh1 with petrol, which retails for Dh1.72 a litre.
 
“We have not increased the diesel price yet. It remains Dh2.35 per litre, which is still lower than the price in Emarat, Eppco and Enoc petrol stations,” said an Adnoc Distribution official.

The current increase in diesel price is to match the surge in oil price in the international market. Crude oil price in the international market is $87.5 a barrel and some experts predict the price to touch $90 per barrel by the end of 2010.
 
Emarat sources confirmed a diesel price increase as per the long-term plan of the fuel marketing companies to match domestic fuel prices to the international oil price.

Industrial users, transport companies and others using diesel will see their cost of operating going up, which generally pushes up general price levels in the country.

Fuel users are keenly watching the oil price movement and the domestic diesel price movement, which reached record levels in May 2010. However, there is no change in the petrol price.

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