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🇳🇬 Nigeria /Energy & Infrastructure

Bolivia Orders State Intervention as Fuel Shortage Bites

From The Punch · () English

Translated from English and summarized by DistantNews. Read the original for the full story.

At a glance

Newswire From a news agency Ongoing story
  • Bolivia placed state oil company YPFB under temporary government supervision for up to 180 days, citing failures in fuel imports and distribution.
  • The government said the intervention would restore efficiency and transparency, while it plans to reduce YPFB’s role in fuel marketing.
  • Fuel shortages and higher diesel prices have triggered road blockades as President Rodrigo Paz seeks international financing during a broader economic crisis.

Bolivia has placed its state oil company, YPFB, under temporary supervision as severe fuel shortages produce long lines at filling stations across the country. The government says the company’s import and distribution systems have failed.

Extraordinary, transparent and temporary

· Bolivian government decreeThe decree described the temporary state takeover of YPFB.

A decree dated Tuesday ordered an “extraordinary, transparent and temporary” takeover lasting up to 180 days. A commission of representatives from several ministries will oversee YPFB while authorities assess how the country imports and distributes fuel. The president’s office said the intervention would “restore efficiency, strengthen fuel supply and bring transparency to the logistics chain.”

Hydrocarbons and Energy Minister Marcelo Blanco acknowledged that the government’s previous measures had not worked. He attributed the shortage to logistical problems in YPFB’s import and distribution processes. The ministry also said it plans to gradually remove fuel marketing from YPFB’s responsibilities, allowing the state company to concentrate on extraction, exploration and refining.

Restore efficiency, strengthen fuel supply and bring transparency to the logistics chain

· Bolivian president’s officeThe president’s office stated the goals of the intervention.

The intervention follows a sharp diesel price increase. The government raised the price from 9.80 bolivianos, about 80 cents, to 18 bolivianos, or $1.50, per litre in an effort to curb smuggling to neighboring countries. Farmers protested by blocking roads in Beni and Santa Cruz, Bolivia’s economic center, despite a state of emergency declared by Paz in June.

Regular measures we had taken didn’t work

· Marcelo BlancoThe hydrocarbons minister acknowledged the failure of earlier government measures.

Paz took office last November after decades of socialist rule and has sought to address what he calls the country’s worst economic crisis in decades. His removal of fuel subsidies in December doubled prices and failed to end the queues, while depleting foreign-currency reserves. He is now negotiating with international lenders over a multibillion-dollar bailout.

Logistical shortcomings in YPFB’s import and distribution

· Marcelo BlancoBlanco identified the problems he said were causing the fuel shortage.
About this summary

Originally published by The Punch in English. Translated, summarized, and contextualized automatically by DistantNews, with a note on how the source frames the story. Not individually reviewed before publishing. How this works.

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