Ahmad 
The Prime Minister of the Government of National Unity, Abdul Hamid Dabaiba, announced the decision to lift fuel subsidies to curb smuggling activities and drain public money, amid fears of protests due to popular rejection of this step.
Dabaiba said during a meeting of the hydrocarbons committee, Wednesday, that “the government’s decision to lift fuel subsidies has been taken, and irreversible,” but did not clarify the date of the start of the implementation of this decision or the alternative measure for that.
He also pointed out that international institutions, the Central Bank of Libya, and regulatory bodies warned against continuing the current situation, noting that the value of subsidies reached 50% of the country’s income.
Libya loses at least $750 million annually as a result of illegal fuel smuggling activities, and fuel subsidies in Libya have increased to more than $12 billion in 2022, an increase of $5 billion compared to 2021, which worries the authorities and raises questions about the reform needed to avoid this.
This has led to a fuel crisis for the cities of southern Libya, which suffer from a shortage of gasoline and gas, despite the large quantities allocated by the government to cover the region’s consumption, as a result of their failure to reach those who deserve them, smuggling them to neighboring countries or selling them on the black market at double prices.
The Dbeibeh’s government’s decision to lift fuel subsidies caused fears of popular protests for this step, which the Libyan street rejects, due to the difficult living conditions, and demands alternative plans and measures to cancel subsidies.