Cut in Dubai diesel prices takes effect

Abu Dhabi: Dubai oil retailers Emirates National Oil Company (Enoc), Emirates Petroleum Products Company (Eppco) and Emarat have slashed the diesel price at the pump by 50 fils a gallon effective yesterday, marking their fourth straight cut in prices in less than a month.

"Diesel in Dubai is now selling at Dh17.25 a gallon, down from Dh17.75 a gallon," an oil company source told Gulf News.

Pump attendants at Dubai's diesel stations confirmed the news.

Gulf News reported the extent of the cut being planned by the oil companies and the exact date from which the new diesel price will become effective.

The price of diesel in Dubai has come down more than 10.3 per cent since July 29 due to a sharp downturn in global crude and oil product prices.

The three Dubai oil retailers buy diesel at international prices and then adjust the local prices, based on the landed cost of the oil product.

With Dubai's new diesel price becoming effective, the diesel price gap per gallon in Dubai and Abu Dhabi pumps has shrunk to 100.58 per cent.