Customize Consent Preferences

We use cookies to help you navigate efficiently and perform certain functions. You will find detailed information about all cookies under each consent category below.

The cookies that are categorized as "Necessary" are stored on your browser as they are essential for enabling the basic functionalities of the site. ... 

Always Active

Necessary cookies are required to enable the basic features of this site, such as providing secure log-in or adjusting your consent preferences. These cookies do not store any personally identifiable data.

No cookies to display.

Functional cookies help perform certain functionalities like sharing the content of the website on social media platforms, collecting feedback, and other third-party features.

No cookies to display.

Analytical cookies are used to understand how visitors interact with the website. These cookies help provide information on metrics such as the number of visitors, bounce rate, traffic source, etc.

No cookies to display.

Performance cookies are used to understand and analyze the key performance indexes of the website which helps in delivering a better user experience for the visitors.

No cookies to display.

Advertisement cookies are used to provide visitors with customized advertisements based on the pages you visited previously and to analyze the effectiveness of the ad campaigns.

No cookies to display.

Empowering you to understand your world

The U.A.E. Will Terminate Gas Subsidies

The United Arab Emirates’ Energy Ministry has decided to terminate gasoline subsidies, as the country’s economy is affected by low oil prices. Oil prices will most likely go right back up anyway, but it is uncertain when that will happen.

PRT station in Masdar City. Image credit: Masdar.
PRT station in Masdar City.
Image credit: Masdar.

The average cost of gasoline in the U.A.E. is equivalent to $1.78/gallon and the policy change should increase the cost of oil, closer to global prices. The policy change is also very likely to reduce waste. Oil subsidies have no place in a warming world that is struggling to cut back on oil usage, so I feel that the U.A.E. government made the right decision.

Energy Minister Suhail al-Mazroui said that the policy change could spur the use of public transportation and reduce fuel usage. To add to that, the boost to the public transit industry will benefit their economy in the long run, and if the public transportation industry is sustained, it will help cushion the financial blow that everyone experiences during oil price spikes by offering an alternative to personal cars (which often use more fuel than public transportation).

Subsidies serve the purpose of stimulating the sales of certain items, and the opposite is needed for gasoline sales (from an environmental standpoint). Where the economy is concerned, the United Arab Emirates has been building up their infrastructure, which will help them to foster growth in various areas and aid the transition to a post-oil economy.

The wealth they have amassed from their massive oil supply has helped them develop the country almost into a utopia. The U.A.E. now has a robust, solid, and technologically-advanced economy that is reducing its reliance on oil. It is very admirable to see a country that benefits so much from fossil fuels lead the way to a fossil-fuel free future, and even more so than many other countries. One project which reflects that is Masdar City. Masdar City is a minimum-waste, solar + wind-powered city which minimizes overall resource usage.

Share this article
Shareable URL
Prev Post

Would You Upgrade Your Tesla From Insane To Ludicrous?

Next Post

Second Trailer For ‘We Are Your Friends’ Released

Leave a Reply

Read next
Subscribe to our newsletter
Get notified when new content is published