KRG caps premium and super gasoline prices amid fuel price hikes

ERBIL — The Kurdistan Regional Government’s Ministry of Natural Resources set maximum retail prices on Wednesday for the two higher grades of gasoline sold at filling stations, extending a ceiling introduced this week for regular fuel in an effort to curb price increases.

The ministry capped improved-grade gasoline, locally known as muhassan, at 1,000 dinars a liter (about $0.65 at the parallel rate) and super-grade at 1,200 dinars (about $0.78). On Monday it had capped the retail price of commercially sold regular gasoline at 850 dinars (about $0.56), moving to ease a weekslong shortage that had pushed prices sharply higher across the region. Subsidized regular gasoline distributed through the ministry will continue to sell at 750 dinars, it said, pledging to increase supply, and commercial stations exceeding the 850-dinar ceiling would face legal action.

All three grades must meet the quality standards and specifications issued by the ministry, it said, a requirement covering government-supplied fuel as well as gasoline obtained commercially or through imports.

The measures follow weeks of shortages and rising prices, with long queues at subsidized stations and drivers reporting paying as much as 1,400 dinars a liter at some commercial outlets for regular gasoline and about 2,000 dinars for super. Earlier this month the ministry authorized gasoline imports and told border crossings to fast-track fuel tankers. Officials attributed the shortage to reduced crude deliveries to local refineries, which cut production of subsidized gasoline, while commercial prices climbed as demand outpaced supply.

The fuel crunch has coincided with wider disruption to the region’s energy sector. Last week, production at the Khor Mor gas field was temporarily suspended over security threats amid rising U.S.-Iran tensions, cutting electricity generation, though the government said household cooking gas supplies would continue after securing federal Oil Ministry approval to meet daily demand.

Prices have fluctuated with supply in previous years. In June 2024, 964media found stations in Sulaymaniyah selling regular gasoline for 850 dinars a liter, improved gasoline for 1,025 dinars and super for 1,175 dinars after a 25-dinar increase, following similar rises in Erbil and Duhok.