Oil prices continue remaining at their highest historical levels in Albania with diesel and petrol sold in some petrol stations up to 180 lek/litre (1.8 dollars)
TIRANA, April 18 – Wholesale fuel companies have called on Finance Minister Ridvan Bode to cancel ordinances on VAT issued three years ago following the compulsory installation cash registers earlier this year. In a letter to the Minister, the Association of Fuel Importers and Traders says the ordinances issued in the first half of 2008 have lost their power. “Following the completion of the cash register process, the companies’ turnover is measured online, making the order of June 2008 unnecessary.
The association also wants the cancellation of another ordinance on price setting procedures.
“We want to clarify that in case of objective price increases in international markets, the existing legal framework leaves ground for abusive propaganda of price increases being made by the importers, and producers’ right to vertical price setting.”
Meanwhile, Albania’s business community represented by Konfindustria, keeps reiterating its request to government to establish a watchdog monitoring the fuel and liquid gas market in the country following the sharp increase in diesel and petrol prices during the past two months.
Oil prices continue remaining at their highest historical levels in Albania even during the beginning of this year with diesel and petrol sold in some petrol stations up to 180 lek/litre (1.8 dollars) during this week, a record price for the past 20 years in Albania. Experts explain the situation with soaring prices in international markets where prices are reported to have reached more than 100 dollars per barrel, and the depreciation of the national currency, lek, against the euro.
The high tax burden, with excise tax currently at 37 lek/litre, VAT at 20 percent, the newly increased carbon tax, port taxes and transport expenditure all add to the final price.
Meanwhile, the Economy Ministry says it has set up a working group to carry out controls on the quality and quantity of fuel sold by all wholesale and retail companies in the country.
The inspections which cover 44 wholesale fuel companies and 909 retail petrol stations come after a massive fraud scheme involving the gasoline and diesel distribution system, selling mixed premium products with inferior byproducts that could have damaged thousands of vehicles and cost consumers millions. The probe has led to charges for 13 men, both public officials and businesspeople.
