Syria’s Protracted Oil Crisis

A lack of fuel continues to plague Syria, and accusations flying around about who is to blame and what solutions are available reports Baladi News.

Regime officials have been trading accusations about the sale and distribution of oil derivatives, and who gets the largest share of the fuel.

The “fuel company crisis” translated into new reductions in subsidies, raising prices, and the black market takeover and its control and dominance of distribution and sales.

Missing the deadline to deliver household gas cylinders, by more than two months, an indirectly reduced subsidy, and a part of the share of heating oil for last year has been lost, in addition to heating allocations for this year, which have been reduced.

Pro-government newspapers published reports accusing the fuel company, SADCOP, of being fully responsible for all the chaos and corruption that occurred, and its negative effects on the economy, amid signs that it could be fired.

Local newspapers do not want to admit that the regime’s oil derivatives have become scarce, or that they are being sold on the black market in favor of companies and merchants close to the head of the regime, which are working to pump and distribute them, all the while manipulating their prices.

Pro-regime newspaper Qasiyon said that part of the oil derivatives crisis is linked to local availability, which is within the purview of the Ministry of Oil and its companies, and to supplies that major importers control, now more than ever. According to Qasiyoun, the other part is linked to the sales and distribution network for which SADCOP is responsible, as an exclusive entity, presumably, in cooperation with some government agencies, taking into account that the private sector has a share of the market sales of these derivatives through gas stations or through gas and diesel distributors, under the supervision of SADCOP.

According to most analyses, it is more likely that fuel will become available in the regime-controlled areas if the matter is left to the big dealers, on the condition that SADCOP be dropped. There are rumors that the Qaterji company might be awarded the fuel contract instead of SADCOP.

 

This article was translated and edited by The Syrian Observer. The Syrian Observer has not verified the content of this story. Responsibility for the information and views set out in this article lies entirely with the author.

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