The Algerian Ministry of Hydrocarbons and Mines said that the recent increases in fuel prices came to ensure continuous supply of the national market and cover the increasing production and distribution costs.
On Thursday, Algeria began implementing increases in fuel prices, the first of its kind in 6 years.
The Ministry of Hydrocarbons explained, in a statement, that “the state continues to bear the large difference between the real cost of fuel and the approved price at distribution stations, in order to preserve purchasing power and support economic activity.”
The price of gasoline rose from 45.62 dinars to 47 dinars per liter, and diesel from 29.01 to 31 dinars per liter, while the price of liquefied petroleum gas (Cergas) was adjusted from 9 to 12 dinars per liter.
The ministry stated that “this update comes in implementation of the applicable legislative and regulatory texts, and does not reflect the true cost of fuel, which includes extraction, refining, transportation and distribution.”
The ministry added, “The review of prices aims to maintain the readiness of refining and distribution facilities and ensure the availability of fuel in all regions of the country without interruption or fluctuation.”
She pointed out that “the proceeds resulting from this modernization will be directed to investing in modernizing gas stations, expanding the retail network, and developing storage and distribution capabilities to bring services closer to the citizen.”
