Cabinet orders closure of monopolizing diesel stations

Yemen Observer: http://www.yobserver.com

Cabinet orders closure of monopolizing diesel stations

Posted in: Front Page
Written By: Fares Anam
Article Date: May 4, 2008 - 5:36:30 AM

Despite the governement claims that the diesel crisis is disappearing, many Yemenis are still waiting in line for hours for diesel that is essential for their income. The driver pictured is shouting at passing trucks cutting in line as he has waited for nearly three hours for fuel.

The Cabinet is holding Ministry of Oil and Minerals responsible for overseeing the process of the supply and distribution of diesel to the licensed stations in Yemen and to take legal action against manipulators of the distribution, as well as ordering the closure of the stations that manipulate or violate laws of diesel distribution.

The Cabinet, at its weekly meeting on Wednesday, under the chairman of the cabinet council, Dr. Ali Mohamed Mugawar, approved the treatments and complementary actions to strengthen the process of supplying the domestic market for diesel in continuous process. They also approved the control on the distribution of diesel fuel at the level of provinces and districts, in light of determining the real needs and taking into account the quantities required to identify the major consumers.

The Cabinet also emphasized that the Supreme Security Committee make rapid and necessary decisions to deal with any smuggling activities, both for diesel or other petroleum derivatives in and along the coastline and land borders of the Republic.

The decision of the Cabinet came after a shortage of diesel fuel in the gas station around the capital, where a large number of vehicles were lining up in front of gas stations in the capital.

An official source at The Ministry of Oil and Minerals said that the recent crisis of diesel fuel stemmed from the disappearance of a ship carrying 55,000 tons of diesel and its subsequent late arrival.

The diesel fuel to cover consumer needs will continue to be imported by the Ministry, added the source as a second ship will arrive at Yemeni ports in the beginning of May, carrying 35,000 tons.

The source expects a third ship carrying 45,000 tons of diesel to arrive on May 8, in addition to two other ships loaded with 100,000 tons.

“The local markets will be fully stabilized after world markets had been disrupted, as the Gulf region was lacking diesel.

This shortage of diesel material came after a number of countries, including China, India, Iraq and Iran, bought large quantities of diesel,” he stated.

“The situation of oil derivatives is stable, and that diesel fuel is currently available at all stations at the same price as before,” the Oil Ministry confirmed.

Competent authorities, local councils and all citizens have been called upon to support positive cooperation with the Ministry of Oil and Minerals regarding the reporting of any violations or manipulation by the owners of packing stations to take legal action against them.