Adnoc: Reduced diesel price poses a challenge
Adnoc will utilise the minor profit margin accrued following the deregulation of the fuel prices to add 125 new service stations in the UAE
Given the prevailing global prices, it was a real challenge for Adnoc Distribution to reduce diesel prices that have been cut by 29%, said the UAE-based fuel retailer.
Abdulla Salem al Dhaheri, CEO of ADNOC Distribution, said: "Even though it was tough, the decision to reduce diesel prices has been taken in public interest with the aim of supporting the national economy and ensuring its global competitiveness.
"Although the fuel prices in the UAE have been deregulated, we still maintain one of the most competitive prices in the region and the world at large, when factoring in the per capita spend on fuel in comparison to the average income of individuals. "
He believes that the new direction of deregulating the prices will allow Adnoc to leverage its expansion plans to meet the rising demand for petroleum and allied products by the public in line with the sustained urban growth the UAE is witnessing across all regions.
"We are confident that the move will positively impact our economy, and will in turn reduce the operational costs across a wide range of pivotal sectors including industries, transportation, shipping among others," al Dhaheri said.
Adnoc will utilise the minor profit margin accrued following the deregulation of the fuel prices to add 125 new service stations that will provide value-added services to customers in the UAE.