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Kurdistan Government Cracks Down on Unauthorized Gas Stations in Erbil

Gulan Media September 28, 2013 News
Kurdistan Government Cracks Down on Unauthorized Gas Stations in Erbil
By Aram Kakakhan

ERBIL, Kurdistan Region - The Kurdistan Region’s Ministry of Natural Resources plans to introduce a new global positioning system (GPS) to monitor tanker trucks carrying fuel from local refineries to gas stations in order to regulate the price and quality of petrol in the region.

Gas stations receiving petrol from the government at a subsidized price are required to sell it to consumers for a standardized rate. However, some violators resell it to other gas stations, according to the Fuel Department in Erbil.

Herish Hussein, Erbil’s deputy mayor, said that the issue is about to be resolved. “The government is going to designate a dozen fuel tankers to transport gas from the local refineries to the gas stations, “ he said, “A GPS system will be installed on each tanker to monitor it.”

He said that, in addition, a committee has been formed to constantly watch the gas stations, and that the system would allow officials to monitor the quality and amount of gas each station receives.

Director Nizar Abdulla from the Erbil Fuel Department said that 2.5 million liters of petrol is sold to gas stations in Erbil every day. “The gas stations only pay 480 dinars per liter and they are required to sell it for 500 dinars,” he added.

Aras Ahmad, a taxi driver in Erbil, said that he had a hard time filling up in recent days, because many gas stations had closed down. “I wonder if they were closed because they don’t receive enough gas from the government or something else,” he commented.

Rudaw has learned that authorities have already charged 11 gas stations for violating the regulation. “Violators will be punished,” said Abdulla.

For their part, gas station owners complained that the government does not provide them with enough fuel.

One owner, who asked to remain anonymous, said that he could not make enough money to pay employees. “That’s why I had to sell it to other gas stations,” he added.

Mustafa Muslih, another owner, said his gas station has been closed for almost two weeks. “I receive 36,000 liters every other week. This amount lets me keep my gas station open only for two days,” he said. He added that his profit from sales had been only 600 thousand dinars, which was not enough to pay employees for two weeks.

Abdulla also said that his department also plans to lower gasoline prices by raising local production. “Since all the food sold to consumers involves transportation, this means that this initiative could lower the cost of food as well,” he added.

The local Kurdistan Regional Government (KRG) has been clamping down on illegal fuel sales in which quality and price went unregulated.

Late last month it ordered all gas stations in Erbil to sell the same standard fuel at a uniform price.


RUDAW
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