Bolivia: $13.1 million paid in compensation for contaminated gasoline

Bolivia's state insurance company, Unibienes, has disbursed approximately $13.1 million USD in compensation to owners of 31,000 vehicles affected by contaminated gasoline. This figure represents 45% of the 70,588 vehicles that reported mechanical damage attributed to the faulty fuel.

Unibienes stated that while thousands of vehicle owners have received their compensation, the process of reviewing and processing pending claims continues. The issue surfaced in February when the state oil company, Yacimientos Petrolíferos Fiscales Bolivianos (YPFB), discovered rubber and manganese residues in gasoline storage tanks, which reportedly destabilized the fuel's composition.

In response, the government established a compensation system for potential vehicle damage. However, the system's effectiveness faced criticism, particularly from transport unions, leading to several strikes. YPFB has implemented measures to ensure fuel quality, including enhanced distribution controls, tank cleaning, stricter supplier quality standards, and the use of additives.

The government, under President Rodrigo Paz, attributed the problem to an "inherited" issue from the previous administration, claiming it did not affect the entire country and suggesting it was a "boycott" against their management. The gasoline crisis resulted in the dismissal of the then-Minister of Hydrocarbons, Mauricio Medinaceli, and two YPFB presidents. Furthermore, three former YPFB executives are currently in preventive detention, facing charges of dereliction of duty and economic misconduct related to the acquisition of the substandard gasoline.