RTA Dubai Taxi Fare Update 2025: New Prices vs Car Ownership & Fuel Costs
In 2025, driving in Dubai isn’t just about which car you pick—it’s about comparing real costs. The Roads & Transport Authority (RTA) has updated taxi fares, while fuel, maintenance, insurance and ownership costs of cars continue to shift. This guide breaks down the new taxi fare structure, how much owning your own car can cost, and how to decide which option suits you best.
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Table of Contents
Taxi Fare Updates 2025
The RTA has revised the taxi fare structure for 2025. For example, base fares and per-kilometre rates have been adjusted to reflect rising operational costs. :contentReference[oaicite:2]{index=2}
The starting meter, waiting time and peak‐hour surcharge are particularly relevant as you ride through the city or to the airport.
Taxi Fare Rate Table
| Transport Type | Base Fare | Per km Rate | Notes |
|---|---|---|---|
| Regular Taxi (6 am-10 pm) | AED 5.00 ≈ | AED 2.14-2.26 | City streets; street hail & meter. :contentReference[oaicite:3]{index=3} |
| Late Night Taxi (10 pm-6 am) | AED 5.50 | Slightly higher per km | Night surcharge. :contentReference[oaicite:4]{index=4} |
| Airport Pickup | AED 25 | Typically AED 2.33 per km | Fixed airport starting fare. :contentReference[oaicite:5]{index=5} |
| App / e-hailing Booking Minimum | AED 12+ | ~AED 2.26 per km | Smart taxi app rides. :contentReference[oaicite:6]{index=6} |
These rates are approximate and reflect published information; specific surcharges, waiting times and fees may apply via RTA or partner apps.
Car Ownership Costs 2025
Owning a car in Dubai carries multiple cost components: purchase/depreciation, insurance, registration, maintenance, fuel, tolls (Salik) and more.
Here is a simplified breakdown of typical annual costs for a mid-sized vehicle in 2025:
| Cost Item | Estimated Annual Cost (AED) |
|---|---|
| Insurance & registration | ~ 3,000-4,000 :contentReference[oaicite:7]{index=7} |
| Fuel & tolls (Salik + normal use) | ~ 4,000-5,000 :contentReference[oaicite:8]{index=8} |
| Maintenance & minor repairs | ~ 1,000-2,000 :contentReference[oaicite:9]{index=9} |
| Total annual running cost | ~ 8,000-11,000 (excluding depreciation) |
Keep in mind depreciation, finance costs and parking/garage expenses are not included here; these can add significant additional cost over the life of the car.
Fuel & Running Costs for Cars in Dubai
Fuel prices in the UAE remain relatively low compared to many global markets. As of 2025: Special 95 petrol at ~ AED 2.46 per litre, Super 98 at ~ AED 2.57 per litre. :contentReference[oaicite:10]{index=10} Diesel similarly priced at ~ AED 2.63 per litre. :contentReference[oaicite:11]{index=11}
So, for a commuter doing say 15,000 km/year in a vehicle that uses 8 litres/100km, fuel cost might be: 15,000km ÷100 ×8 × 2.46 = ~ AED 2,952/year. Add tolls and minor running costs and you approach the earlier table estimate.
Taxi vs Car: Which Makes Sense?
Here’s a comparison to help you decide whether using taxis (or ride-hailing) is cheaper than owning a car.
| Option | Annual Approx. Cost | Notes |
|---|---|---|
| Using Taxi for Majority Commute | Based on ~25 rides/week averaging AED 30 each = ~ AED 39,000/year | High flexibility, no car maintenance |
| Owning Car | ~ AED 8,000-11,000/year (running costs) + depreciation/finance | Better for frequent driving, choice of vehicle |
Clearly if you drive frequently, the fixed costs of ownership may make sense. If you travel less and mostly within city, relying on taxis (especially with smart apps) could be cost-effective—but compare your actual usage.
Tips for Drivers & Commuters
- Track your actual yearly mileage. If it’s under ~10,000-12,000 km/year, taxi/ride-hailing may be cheaper.
- For car owners: optimise fuel efficiency, keep tyres/inflation right, and avoid unnecessary running hours (engine idling = cost).
- For taxi users: check for base-fare minimums (e.g., AED 12+) and surcharges when booking via apps. :contentReference[oaicite:12]{index=12}
- Factor in parking, tolls (Salik) and traffic jams—these add hidden cost to car ownership.
- If you own a car but use it less than 3-4 days/week, consider switching to rental/short-term usage and rely on taxis the rest of the time.
FAQs
Has the taxi base fare increased recently?
Yes—new minimum fares for some app bookings have been reported at AED 13 and above in late 2025. :contentReference[oaicite:13]{index=13}
Is fuel very expensive in the UAE?
No—fuel remains relatively inexpensive compared to many global markets, which helps reduce the running cost of owning a car. :contentReference[oaicite:14]{index=14}
Does owning a car always cost more than using taxis?
Not necessarily—it depends on how much you drive. If you use a car daily, the ownership cost may be lower per kilometre than repeated taxi rides.