New probe launched into fuel market

TIRANA, March 21 – 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.
The joint working group, ordered by Economy Minister Nasip Naco, will have specialists from the Central Technical Inspectorate and the General Directorate of Metrology, who will inspect fuel companies and petrol stations in a one-month period to observe if the oil companies meet required quality and quantity standards following allegations of abuses.
Few days ago, four wholesale oil companies had their licences revoked after inspections carried out by Economy Ministry showed they traded crude diesel not meeting legal and technical standards. The Economy Ministry also decided to temporarily suspend the licenses of seven other companies on the same grounds.
The controls carried out by the Central Technical Inspectorate came following allegations by some companies of unfair competition from the sale of crude oil. Oil importers said the change by only 1 percent in the percentage of sulphur allowed by the government decision meant an additional 15 percent cost. “This creates inequality on the market, meaning that if the companies import fuel with a suphur percentage at only 1 percent above the standard, they win not less than 120 USD/tonne,” said the Association of Hydrocarbon Companies earlier.
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 170 lek/litre (1.7 dollars). 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 US dollar and 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.