Doha - There are several cases of smuggling the heavily subsidized diesel at local filling petrol stations, but there is no shortage of the fuel, Qatar Fuel Company's (Woqod) Vice Chairman and Managing Director, Mohamed Turki Al-Sobai said here yesterday.
"The Ministry of Interior and other government agencies have set up a committee to monitor fuel consumption at filling petrol stations. Stern measures are being taken against those who have been caught buying diesel on the sly," Al Sobai told reporters at a news conference.
He said some unscrupulous elements were found to resort to diesel smuggling sometimes through middlemen, by purchasing huge quantities of the subsidized diesel at filling petrol stations meant for local consumption.
Qatar's actual daily consumption of diesel is estimated at approximately 40,000 barrels per day (b/d) of which 24,000 b/d are locally produced. The remaining 16,000 b/d is being imported at international prices.
"Qatar Petroleum (QP) has decided it would not be fair towards the country to sell all the available quantity of diesel at subsidized price. International contractors have to buy diesel at international prices, because the subsidized fuel is only meant for local market consumption," said Al Sobai.
Meanwhile, the second condensate refinery in Ras Laffan which also produces diesel with an output of some 24,000 b/d is slated for commissioning by the end of this year or early next year, Al-Sobai said.
As for future plans, the country's fuel distributor Woqod is constructing more petrol filling stations in various parts of the country and slated for completion in October and early next year with an additional seven in tendering stage.
The stations to be completed in October include those in Rayan, Industrial Area, Dukhan, Nuaija and that of Gharafa is to be completed early next year. Woqod also only operate and manage other filling petrol stations including in Ras Laffan and Dukhan, as well as marine stations in Ruwais, Wakra, and in Al Khor.
Al-Sobai said Woqod does not compete with domestic filling petrol stations. The company only sets up its stations where these services are needed such as in new areas especially with the country's rapid urban development requiring new petrol stations.
"Furthermore, our aim is to raise the level domestic stations in terms of safety, services being provided to the public and their overall appearance of the stations. This is already paying off as many domestic petrol stations have improved their services a lot in the last three years," said Al-Sobai.
© The Peninsula 2008
