UAE petrol and diesel prices to increase in June 2022

UAE petrol prices for June 2022 have been announced. Fatima Al Marzooqi / The National

Petrol prices in the UAE will increase in June amid surging global oil prices that have been mostly above $100 a barrel since the end of February.

Motorists across the Emirates have been paying more at the pumps in recent months, with a 10 per cent rise in March and a 16 per cent increase in April before a slight comedown in May.

The breakdown price per litre for June is as follows:

• Super 98: Dh4.15 — an increase of Dh0.49 (13.3 per cent) from Dh3.66 in May

• Special 95: Dh4.03 — an increase of Dh0.48 (13.5 per cent) from Dh3.55 in May

• Diesel: Dh4.14 — an increase of Dh0.06 from Dh4.08 (1.5 per cent) in May

• E-plus 91: Dh3.96 — an increase of Dh0.48 (13.8 per cent) from Dh3.48 in May

The prices announced by the UAE Fuel Price Committee in April were the highest since they were liberalised in 2015 to allow them to move in line with the market.

In 2020, prices were frozen by the Fuel Price Committee at the beginning of the coronavirus pandemic. The controls were removed in March 2021 to reflect the movement of the market.

Oil prices extended their rally on Tuesday after the EU agreed to ban most Russian oil imports by the end of the year, raising concerns about a tighter market amid higher demand expectations in the summer.

Brent, the benchmark for two thirds of the world's oil, was up 1.43 per cent at $123.40 at 8.46am UAE time on Tuesday. This is the highest rebound since the benchmark hit about $140 in early March.

West Texas Intermediate, the gauge that tracks US crude, gained 3.17 per cent to $118.70 a barrel.

European Council President Charles Michel said on Twitter that the agreement to ban Russian oil exports to the EU was made in response to Moscow's military offensive in Ukraine.

The Opec+ alliance, led by Saudi Arabia and Russia, is set to meet on Thursday and is expected to stick to plans to raise production by only 432,000 barrels a day.

Opec+ cut output during the Covid-19 pandemic but has been restoring it gradually by about 400,000 barrels a day each month.

Meanwhile, about 52 per cent of UAE residents are considering a switch to hybrid or electric cars as the increase in fuel prices comes to bear on the way consumers think about transport, a survey by Audi Abu Dhabi showed.

Twenty-five per cent of people surveyed are waiting for more EV options to be launched before buying, the poll involving 1,000 residents of the UAE found.