Syria introduces tiered diesel pricing and refinery restarts

The Syrian government has announced a new tiered pricing structure for diesel fuel to mitigate the impact of recent price hikes that triggered nationwide protests. Energy Minister Mohammed al-Bashir stated that the ministry will offer three distinct types of diesel to provide relief to different sectors.

The most subsidized rate is set at 115 Syrian pounds per liter (approximately $0.94), specifically designated for heating, agriculture, and eligible low-income groups. A second tier priced at 150 liras per liter (approximately $1.23) will be available for productive, service, and heavy machinery sectors. Standard-specification diesel will continue to be sold at 175 liras per liter.

To support this initiative, the Syrian Petroleum Company will oversee the restart of several local refineries with a combined capacity of up to 35,000 barrels of crude oil per day. The production from these refineries will be dedicated to the subsidized fuel tier. The government attributed the initial fuel price increases to global market volatility, disruptions in the Strait of Hormuz, and the scheduled maintenance of the Baniyas Refinery.