Hot on the heels of the UN report on global warming yesterday, Oman's made the long-suspected announcement this morning (even at the behest of the IMF in a recent report) that the subsidy on fuel is to be reduced starting from next week.
Current prices are 114bz /liter for regular, 120bz /liter for super and 140bz /liter for diesel. In this mornings announcement made by Omar bin Tagzin the new pricing levels will be 220bz /liter for regular, 280bz /liter for super and diesel is to be 300bz /liter. Tagzin then went on to announce that those Omani's that receive financial support will also be receiving a fuel card allowing RO 10 per month in fuel which can be redeemed at any petrol station in Oman.
It is hoped that as more and more ONTC buses hit the roads, more people will start to use the growing public transit system and opt to not drive fuel inefficient vehicles.
I have to say I'm quite shocked at how sudden this announcement was made, and my previous prediction of 270bz liter was actually lower than what's been announced - I guess the fuel subsides were growing at an un-maintainable rate as the number of new young drivers increases each month.
I predict a raft of "fuel efficient" car adverts in our near future.
In case you didn't get it........