Enoc slashes diesel price
Dubai, June 2, 2013
Emirates National Oil Company (Enoc) has cut the retail price of diesel by 20 fils to Dh3.50 ($0.95) a litre, it said on Saturday.
Enoc, owned by the government of Dubai, said its price cut reflected "the recent decline in international prices" and would have a positive impact on the emirate's economy, particularly the manufacturing sector.
Unlike neighbouring Abu Dhabi, Dubai does not have significant oil reserves. Although petrol prices are capped across the country, diesel prices are not.
In 2011, Enoc said it faced a loss of Dh2.7 billion ($735 million) to sell petrol at the subsidised rate after buying it at international prices and said the situation was "clearly not sustainable or viable for the company".
World Bank data showed that in 2012, the average pump price of diesel in the United States was $1.05 a litre and in China it was $1.28 a litre.-Reuters