Economie

Fuel Price Adjustment: Ministry Explains Reasons, Affirms State Support

Algiers – The Ministry of Hydrocarbons and Mines has clarified the reasons behind the recent fuel price adjustments, which took effect on January 1st. The ministry affirmed the state’s continued support in mitigating the impact on citizens and the economy.

The ministry stated that the price revisions are a necessary measure to ensure the consistent supply of fuel across the nation and to address the escalating costs associated with production, refining, transportation, and distribution. This adjustment, they emphasized, is implemented in accordance with existing legislative and regulatory frameworks.

The adjustments include:

  • Gasoline: Increased from 45.62 DZD per liter to 47 DZD (+1.38 DZD).
  • Diesel: Adjusted from 29.01 DZD per liter to 31 DZD (+1.99 DZD).
  • LPG/Fuel (Sirghaz): Raised from 9 DZD to 12 DZD per liter (+3 DZD).

The ministry underscored that these prices do not fully reflect the actual cost of fuel production, which encompasses extraction, refining, transportation, and distribution. The public treasury, it was noted, continues to shoulder a significant portion of the final price to protect the purchasing power of citizens and to support economic activity. The ministry emphasized that the state remains committed to subsidizing fuel costs, absorbing the difference between the real cost and the pump price.

Sirghaz remains the most economical fuel option in Algeria, costing approximately four times less than gasoline, reflecting the state’s continued promotion of this environmentally and economically sound alternative.

The primary objective of this revision is to enable refining and distribution companies to maintain operational readiness and ensure uninterrupted fuel availability throughout the country, preventing any potential supply disruptions in the future. Revenues generated from the price adjustments will be directly allocated to modernizing service stations and expanding the sales network.

The ministry reiterated its commitment to ensuring a stable and affordable fuel supply for the benefit of all Algerians.

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