Syria Introduces Subsidized Diesel After Steep Price Hikes

Syrian Energy Minister Mohammad al-Bashir announced a new subsidized diesel pricing structure to mitigate public anger following recent price hikes ranging from 25% to 40%. The new system establishes three distinct rates: 115 Syrian pounds per liter for heating, agriculture, and eligible consumers; 150 pounds per liter for the productive and service sectors; and 175 pounds per liter for standard-specification diesel.

These measures follow a meeting between al-Bashir and President Ahmad al-Sharaa to address energy sector efficiency and the economic burden on citizens. The initial price spikes were triggered by a comprehensive overhaul of the Baniyas refinery, which forced Syria to rely on expensive imported petroleum products during a period of rising global costs.

To support the new pricing tiers, the government is restarting several small-scale refineries with a combined capacity of 35,000 barrels per day. Minister al-Bashir stated that the price adjustments are temporary and that the full return of the Baniyas refinery to operation will eventually help lower costs.