Saudi Aramco announced an update to fuel prices, raising the price of diesel in the Kingdom by 7.8% to reach 1.79 riyals per liter , according to the periodic review and updates of the company through its official website, with this price to be implemented starting from today (Thursday) corresponding to January 1, 2026.
In a related development within the energy sector, the National Gas and Industrialization Company (GASCO) has taken a strategic step to standardize liquefied petroleum gas (LPG) prices across all regions of Saudi Arabia. This decision encompasses gas used for filling cylinders as well as central storage tanks, and falls within the framework of the government's approved regulations for adjusting energy and water product prices in the country.
New gas price list (including tax and transportation)
Gasco clarified that the new unified prices that have come into effect include value-added tax and transportation fees, and are as follows:
- Gas cylinder with a capacity of 11 kg: 26.23 riyals.
- 5 kg gas cylinder: 11.93 riyals.
- Central tanks: 1.770 riyals per liter.
The context of energy system reform in Saudi Arabia
These price adjustments are part of a comprehensive energy price reform program in Saudi Arabia, aimed at improving energy efficiency and preserving natural resources for future generations. Since launching Vision 2030, the Kingdom has been gradually reviewing energy and water prices to reduce the gap between domestic and global benchmark prices, while directing support to those who need it through social protection programs such as the Citizen's Account.
Adjusting the price of diesel is an important step in the restructuring of the national economy, as it contributes to stimulating the industrial and logistical sectors to adopt more fuel-efficient technologies, thus reducing waste and enhancing long-term economic competitiveness.
The importance of unifying gas prices regionally
Gasco's decision to standardize gas prices carries significant developmental and social implications. Previously, transportation costs sometimes led to price discrepancies between major cities and remote areas. The new decision aims to eliminate these disparities, ensuring equitable access to the service at the same cost for all citizens and residents throughout the Kingdom.
The company affirmed that this measure reflects its commitment as a national partner supporting balanced development, as unifying prices contributes to improving the quality of life in peripheral areas and supporting economic integration between the various governorates of the Kingdom, which enhances the stability of the local market and limits any potential price manipulation resulting from geographical differences.
