Syrian Energy Minister Mohammed al-Bashir announced on Thursday that subsidized diesel would be sold at 115 Syrian pounds per liter, saying the ministry had approved practical measures to ease the burden on citizens while maintaining supplies.
Speaking at a news conference with Syrian Petroleum Company Chief Executive Youssef Qablawi on developments in the oil sector, Bashir said several grades of diesel would be offered at different prices and specifications to reduce living costs.
He also said several small local refineries would be restarted under the management and supervision of the Syrian Petroleum Company, with a combined capacity of up to 35,000 barrels of crude oil per day.
The Permanent Committee for Pricing Petroleum Products and Mineral Resources issued a temporary price list for petroleum products on Sunday. Syrians were caught off guard by the decision, which raised prices by between 25% and 40%, reflecting regional and global developments.
The decision triggered widespread public anger, particularly in eastern and northern Syria, where residents face complex economic, administrative, security and living conditions. Concerns have mounted that higher fuel prices will further increase already steep everyday expenses.
Bashir said at the news conference, carried by the state news agency SANA, that he met President Ahmed al-Sharaa on Wednesday to discuss practical alternatives.
They approved a proposal to offer several grades of diesel at different prices and specifications according to their intended use, rather than limiting the market to a single, high-grade and costly product, he said.
“We recognize that higher energy prices have a direct impact on people’s livelihoods and on the agricultural, production and service sectors,” Bashir said.
“Our responsibility is not limited to securing petroleum products. It also includes seeking solutions that ease the burden while maintaining continuity of supply.”
Bashir said subsidized diesel priced at 115 Syrian pounds per liter would be allocated primarily for heating, agriculture and groups eligible for government support.
Diesel meeting specifications suitable for transportation and for production and service-sector uses would be offered at 150 pounds per liter, he added.
The minister said crude petroleum products cost less than finished products. Syria spends about $140 million a month purchasing gas for power generation to meet the needs of its electricity plants, he said.
Syria imports 5.3 million cubic meters of gas per day from several countries, Bashir said, adding that the state treasury could not bear additional costs.
He said accumulated electricity-sector debt and losses from petroleum products had affected investment projects and capital spending. Unpaid electricity bills and illegal connections to the power grid had also increased losses at the Syrian Electricity Company.
“The state has adopted a policy of moving from a socialist economy to a free-market system, and we recognize the difficulties that this entails,” Bashir said.
“The return of the Baniyas refinery to operation and an increase in domestic production will have a positive effect on petroleum product prices.”
Qablawi said the Syrian Petroleum Company had begun preparing an implementation plan for the measures after discussing the relevant mechanisms with the Energy Ministry.
The company had spent the previous period studying the technical and operational details and working to remove potential obstacles to ensure smooth implementation, he said, according to Syria’s state-run Al-Ikhbariya television.
Qablawi said he hoped implementation would begin in the coming days, depending on technical and administrative readiness, adding that further details would be announced gradually.
Only designated fuel stations in the provinces would sell products processed by the small local refineries, he said.
The pricing committee issued its new temporary price list on Sept. 13.
The Energy Ministry later said the increase in Syrian petroleum product prices resulted from an exceptional rise in global procurement costs coinciding with a comprehensive overhaul of the Baniyas refinery.
It said the adjustment was temporary and intended to maintain supplies and ensure that petroleum products remained available on the domestic market.
Syria has been affected by higher global procurement costs for gasoline, diesel and fuel oil at a time when the Baniyas refinery is undergoing an overhaul expected to last about two months, temporarily increasing the country’s reliance on imported finished products.
