UAE authorities will lower domestic prices for gasoline in October, hitting near parity with prices during the now-scrapped subsidy regime, which ended in August.
The price of a liter of octane 95 gasoline will fall 8.7 percent to 1.79 dirhams at the start of October compared with 1.96 dirhams in September, the ministry said on its Twitter account.
The domestic diesel price will rise to 1.89 dirhams in October from 1.86 dirhams in September, the ministry said.
In July, the UAE said it would raise domestic prices for gasoline and cut them for diesel in a politically sensitive reform designed to save it money and encourage fuel efficiency.
Oil prices fell on Monday, paring some of last week’s 2 percent rally, despite evidence of slowing U.S. production and a fourth weekly increase in U.S. investor holdings of crude futures.
Meanwhile, the oil minister of the UAE’s Gulf neighbor Kuwait said on Monday that a summit of OPEC and non-OPEC members, as suggested by Venezuela, would be pointless as independent producers are not committed to cutting output.
Saudi Arabia too sees no need to hold a heads of state summit nor interfere in the oil market. One OPEC source said that should such a meeting produce no concrete outcome, it would have a negative impact on prices.