The United Arab Emirates government will remove gasoline subsidies and will begin selling gas in accordance with international oil price tariffs from August, U.A.E's Energy Minister Suhayl al-Marzuki said Tuesday.
The government has introduced this change as part of its policy to decrease the number of vehicles in the country while encouraging people to use public transport and reduce carbon emissions.
The new policy on gasoline aims at supporting the national economy and increasing the country's competitiveness in the global market.
The U.A.E government will announce its monthly gas prices in advance on the 28th of every month.
Analysts predict a drop in diesel prices from roughly $0.56 per liter to $0.55 and that gasoline prices will rise from $0.46 per liter to $ 0.58 per liter.
Speaking to local media, al-Marzuki said that with the implication of new prices, people will be encouraged to use public transportation and fuel-efficient vehicles.
Reporting by Enes Kanli
Writing by Gokhan Yildiz
Anadolu Agency
gokhan.yildiz@aa.com.tr