Here’s how much you’ll pay at the pump in 2026
The UAE has kicked off 2026 with welcome news for motorists across the country. Petrol and diesel prices for January 2026 have officially been announced, and the update brings noticeable relief for residents who rely on daily commuting, logistics, and long-distance travel. Fuel costs have dropped across key categories, easing pressure on household budgets and business operations alike.
Fuel prices in the UAE are reviewed monthly, and the latest adjustment reflects a downward trend in global oil markets toward the end of the year. As a result, drivers will see lower rates when filling up their vehicles from the start of January, setting a positive tone for the year ahead.
January 2026 Fuel Prices in the UAE
Motorists can expect to pay less per litre compared to December, with reductions across both petrol and diesel categories. The newly announced prices are as follows.
Super 98 petrol is now priced at Dhs2.53 per litre, down from Dhs2.70 in December. This premium fuel option, commonly used in high-performance and luxury vehicles, has seen one of the most noticeable drops.
Special 95 petrol has been set at Dhs2.42 per litre, compared to Dhs2.58 the previous month. This category remains one of the most popular choices among everyday drivers in the UAE.
Diesel prices have also decreased significantly, now standing at Dhs2.55 per litre, down from Dhs2.85 in December. This reduction is particularly impactful for commercial transport, delivery services, and logistics companies that depend heavily on diesel-powered vehicles.
Overall, the January 2026 fuel update brings tangible savings at the pump, especially for those with high monthly fuel consumption.
What This Means for UAE Drivers
Lower fuel prices translate directly into reduced daily expenses for millions of residents. For commuters, the savings may seem modest on a per-litre basis, but over weeks and months, the impact adds up. Families managing household budgets will appreciate the added breathing room, while businesses that depend on transportation may see improved operating margins.
For ride-hailing drivers, couriers, and delivery fleets, the drop in diesel prices is especially significant. Reduced fuel costs can help offset rising expenses in other areas, such as maintenance, insurance, and toll charges.
Lower petrol prices also tend to encourage road travel, weekend getaways, and domestic tourism, particularly during the cooler months when many residents prefer driving over flying.
How Super 98 Prices Changed Throughout 2025
Looking back at 2025, fuel prices in the UAE showed noticeable fluctuations, reflecting changes in global oil demand, production levels, and broader economic conditions. Super 98 petrol, in particular, experienced several ups and downs throughout the year.
In January 2025, Super 98 was priced at Dhs2.61 per litre. Prices rose in February to Dhs2.74 and remained high in March at Dhs2.73. April saw a sharp decline to Dhs2.57, followed by relative stability in May and June at Dhs2.58.
During the summer months, prices edged upward again. July recorded Dhs2.70, while August dipped slightly to Dhs2.69. September returned to Dhs2.70, and October marked one of the highest points of the year at Dhs2.77.
In November, prices eased to Dhs2.63 before climbing once more in December to Dhs2.70. The January 2026 rate of Dhs2.53 now marks a clear reduction compared to the final months of the previous year.
Why UAE Fuel Prices Change Every Month
Fuel prices in the UAE are adjusted monthly in line with average global oil prices. This pricing approach allows domestic fuel rates to reflect international market conditions while encouraging more efficient energy consumption.
The policy was introduced by the Ministry of Energy in August 2015. Before this shift, petrol prices were subsidised by the government, shielding consumers from global price fluctuations.
While subsidies provided stability, they also placed pressure on public finances. The move to market-linked pricing was designed to support long-term economic sustainability and promote responsible fuel usage.
Impact on Businesses and the Wider Economy
Fuel price changes affect far more than individual drivers. They influence transportation costs, supply chains, and pricing across multiple sectors. Lower fuel prices can help stabilise operating costs for businesses, particularly those involved in logistics, construction, and delivery services.
Small and medium-sized enterprises that rely on regular travel or fleet vehicles may find it easier to manage expenses in the early months of 2026. Public transport operators and shipping firms also benefit from reduced diesel costs, improving overall efficiency.
At the consumer level, lower fuel prices often free up disposable income, encouraging spending in retail, dining, and leisure sectors, which supports broader economic activity.
What to Expect in the Months Ahead
Despite the positive start to 2026, fuel prices remain closely tied to global oil market movements. Production decisions by major oil-producing nations, shifts in international demand, and geopolitical developments can all influence future rates.
Motorists should continue to expect monthly announcements and possible adjustments. The UAE’s transparent pricing system ensures that changes are communicated clearly and implemented uniformly across fuel stations nationwide.
For now, drivers can enjoy a more affordable start to the year, with January’s fuel prices offering welcome relief after a year of fluctuations.
Final Takeaway for UAE Motorists
The announcement of reduced petrol and diesel prices for January 2026 is a positive development for residents and businesses alike. With lower costs across Super 98, Special 95, and diesel, drivers can begin the year with lighter fuel bills.
As the UAE continues to align fuel prices with global trends, staying informed remains important. For January, however, the outlook is encouraging, giving motorists a smoother and more economical road ahead.
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