Mozambique Oil & Gas: Government to introduce tightened fuel controls

The Government is strengthening controls in the fuel sector with the aim of reducing tax evasion and protecting the public from adulterated products as reported by daily newspaper Noticias.

A panel of experts from the Ministry of Mineral Resources and Energy (MIREME) and the Mozambique Tax Authority (AT) announced the multinational SCGP as the winner of a fuel marking tender.

According to the national director of Hydrocarbons and Fuels Moisés Paulino, the tender was launched after the discovery of product declared as being in transit which had however remained in the national supply chain.

“There are also cases of adulteration in which diesel is mixed with light petroleum or other substances and placed on the market, to the detriment of the final consumer. The tender will help the government strengthen control with a view to having the fuel business better regulated,” Paulino said.

Paulino explained that, if it is approved in later stages, the tender winner would be responsible for supervising the export and fuel-in-transit segments of the distribution network.

“We intend to bring in technology to measure fuel quality and so be certain about what kind of fuel is circulating in the country,” he said.

Paulino, however, went on to clarify that the tender did not concern certification.

“Imported fuel is certified by companies in the Maputo, Matola, Beira and Nacala ocean terminals for compliance with the specifications in force in Mozambique. We only want to fight the adulteration of fuel in the national supply chain and minimize tax evasion,” he said.

Mozambique distribution companies spend US$100 million a month on imported fuels.

“Because we are the regulators, the government is from time to time called upon to restore order when there is a disturbance in the supply chain,” Paulino noted. (source: Noticias)