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Oil pinch hurt growing in the UAE as Uber, Sharjah Taxi take cues

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Kumar Shyam

The pinch on the pockets of the UAE residents is starting to hurt badly by the day with rising oil prices and its knockon effects.

As soon as the petrol and diesel prices went up by at least 50 fils for the month of July, ride-hailing company Uber has followed suit.

The company sent out an email on Friday to inform about the fare hike. Uber would charge as much as 11 per cent extra for some trips, the American company added.

The hike is Uber’s second this year in the UAE, after a hike in March but the UAE’s market-linked price for the black gold has continued unabated. The country opted for a dynamic pricing with global trends in 2015. But Russia’s attack on Ukraine has messed all economies around the world.

Yet, petrol in UAE is three times more expensive than in Kuwait and almost double the average cost per litre in the six-member Gulf Cooperation Council, according to a Bloomberg report.

Dynamic pricing

Uber is not alone with Sharjah Taxi also deciding to base their fares with the rise or fall of fuel prices with this month.

The Sharjah Roads and Transport Authority (SRTA) said the meter flag down rate will be increased or decreased every month in direct co-relation with the prices. Petrol prices in the UAE have jumped over 56 per cent since January 2022.

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Also read: UAE ranks first regionally and twelfth globally in growth potential
UAE petrol price to get costlier by 50 fils in July 2022
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Early last month, Suhail Al Mazrouei, Minister of Energy and Infrastructure, had admitted that prices could go higher as Chinese demand is likely to recover significantly while efforts by Opec+ to raise production were not yielding results fast enough.

The latest data showed Opec+ was running 2.6 million barrels a day short of its production target, Mr Al Mazrouei said at the Middle East and North Africa-Europe Future Energy Dialogue in Jordan.

He expects China, the world’s biggest importer and second largest economy, which has been easing its coronavirus lockdowns, to “come with more consumption”.

“With the pace of consumption we have, we are nowhere near the peak because China is not back yet,” Mr Al Mazrouei said. “The situation is not very encouraging when it comes to the quantities that we can bring. We’re lagging by almost 2.6 million barrels a day and that’s a lot.”

 

Dubai most expensive city in the Gulf

Meanwhile, Dubai has been ranked among the world’s most expensive cities to live and work in for expatriates this year, according to the Cost of Living survey by Mercer.

Dubai-expensive The study, which looks at how the rising cost of living has impacted workers’ financial wellbeing in 227 cities worldwide, placed Dubai in the 31st position.

The emirate, which has been seeing a growing influx of millionaires and demand for property recently, emerged as the costliest city in the Gulf Cooperation Council (GCC) region, beating out the neighbouring cities of Riyadh, which landed in the 103rd position, Jeddah (111th place), Manama (117), Muscat (119), Kuwait City (131) and Doha (133).

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What El Nino means for the UAE: Hotter summer, more humidity and rainfall in coming months

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The UAE could experience hotter-than-normal and wetter-than-normal weather in the coming months as El Niño conditions strengthen across the tropical Pacific Ocean, according to the National Centre of Meteorology (NCM).

In its latest seasonal outlook, the NCM said there is a 98 per cent probability of El Nino conditions continuing between July and November 2026, with temperatures and rainfall across the UAE expected to range from near-average to above-average levels.

The forecast is based on conditions in the Nino 3.4 region of the tropical Pacific Ocean, a key climate indicator used by meteorologists worldwide. The latest sea surface temperature anomaly in the region is 0.5°C above normal, officially placing it within El Nino territory.

What is El Nino?

El Nino is a natural climate pattern caused by unusually warm ocean temperatures in the central and eastern Pacific. Although it occurs thousands of kilometres away, it can influence weather systems across the globe, including the UAE and other countries in the region.

Historically, El Nino events have been associated with higher temperatures, increased humidity, heavier rainfall in some regions, and more extreme weather patterns worldwide.

What could it mean for the UAE?

While the UAE is not among the regions most severely impacted by El Nino, forecasters say residents could see:

  • Higher-than-normal temperatures
  • Increased humidity levels
  • Greater chances of rainfall compared to seasonal averages
  • More variable weather patterns during the second half of the year

The NCM stressed that climate conditions are continuously monitored and forecasts will be updated monthly based on the latest international weather models and observations.

For now, residents should prepare for a potentially hotter and more humid summer as the climate phenomenon strengthens.

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Food

Pests, expired food, poor hygiene: Why 69 Abu Dhabi restaurants and food shops were closed

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Abu Dhabi authorities have closed 69 food establishments since last year after inspectors uncovered serious food safety violations, including pest infestations, expired products and poor hygiene standards.

The Abu Dhabi Agriculture and Food Safety Authority (ADAFSA) said 55 businesses were shut down in 2025, while another 14 have been closed so far in 2026 after repeatedly failing to comply with food safety requirements.

Why were they closed?

Officials said the most common violations included:

  • Selling expired food products
  • Insects and pests in food preparation areas
  • Poor hygiene practices
  • Improper storage of perishable food
  • Failure to meet mandatory food safety requirements

Authorities stressed that closure is only used as a last resort after businesses fail to respond to warnings and corrective notices. The crackdown comes as consumers continue to report food safety concerns across the emirate.

What happens next?

Closed establishments are only allowed to reopen once inspectors confirm all violations have been addressed and food safety standards are fully met.

The authority said regular inspections and surprise visits will continue across restaurants, cafeterias, supermarkets and food outlets to help protect public health.

Officials also encouraged residents to report suspected violations and check food safety ratings displayed under the emirate’s Zadna Assessment programme before dining or shopping.

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How AI is cutting Dubai bus delays by 68% in real time

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Dubai’s Roads and Transport Authority (RTA) has introduced a new generation of AI-powered smart dashboards to manage the city’s bus network in real time, helping improve service reliability, predict disruptions and reduce emissions.

The technology has been deployed at the Bus Operations Control Centre and uses advanced data analytics and artificial intelligence to monitor and optimise bus services across Dubai.

Smarter bus operations

Developed by RTA’s Public Transport Agency in partnership with its Artificial Intelligence Centre, the system enables operators to identify issues before they affect passengers and make faster operational decisions.

The platform includes tools for:

  • Predicting potential trip cancellations
  • Monitoring early bus departures
  • Managing disruptions linked to metro services
  • Optimising bus turnaround and route operations

These applications are now fully integrated into the control centre’s daily operations.

Delays reduced by 68%

According to RTA, the AI-powered system has already delivered measurable improvements.

Early departures have been reduced by more than 68 per cent, while automated monitoring and response tools have helped improve service consistency and passenger experience.

The system can also trigger the rapid deployment of buses during metro service interruptions, reducing disruption for commuters.

Boosting sustainability goals

Beyond operational improvements, the technology is also helping support Dubai’s environmental targets.

By improving bus parking management and reducing unnecessary engine idling, the initiative has contributed to cutting more than 13,000 tonnes of carbon dioxide emissions.

RTA said the project represents a major shift towards proactive, data-driven public transport management and highlights Dubai’s growing use of artificial intelligence in everyday city operations.

The initiative forms part of wider efforts to strengthen public transport efficiency, enhance customer experience and reinforce Dubai’s position as a global leader in smart mobility and AI-powered urban services.

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