Even though there are challenges in buying oil at a cheap rate, oil is still the cheapest in Maldives in the region. It is difficult to buy at a cheap rate because, the quantity Maldives requires is very less because Maldives does not have a large population and large-scale industries.
In India a diesel liter costs RF 14.50 and a petrol liter costs RF 17.42. In Sri Lanka a diesel liter costs RF 9.56 and a petrol liter costs RF 12.95. In Pakistan a diesel liter costs RF 11.26 while a petrol liter costs RF 10.49.
So, on average a diesel liter costs RF 11.72 and a petrol liter costs RF 13.86 in SAARC countries. In Maldives a diesel liter costs RF 9.17 and a petrol liter costs RF 9.52. Hence, price of oil is still the cheapest in Maldives.
Speaking to the press at the head office of STO, the MD of STO Ahmed Shaheer said that Maldives still lacks adequate stocking facilities and the amount required by Maldives is also less. He said that hence it is challenging to buy oil at the cheapest rates in the world oil market.
“We need to use 40,000-ton tankers if we want to reduce the price. But since we do not have a harbor that can accommodate such a large tanker, we have to use coastal size tankers. That is also one reason why the price increases” said Shaheer.
Shaheer said that the government is doing a lot of work to decrease the price of oil. “We are developing large storage tanks in Funadhoo. We procured a 28,000-ton tanker now. It will be in Maldives on November. We are taking many other measures to reduce the price” said Shaheer.
Shaheer said that no matter what they do, they cannot control the price of oil in world markets. “Even in countries that produce oil, the price is increasing” said Shaheer.
Shaheer said that the government is taking a lot of acting to reduce the price of oil. “Decreasing the import duty on oil from 10 to 5 percent is also an important decision” said Shaheer.
Despite challenges in buying oil at a cheap rate, oil is still the cheapest in Maldives in the region !
