Economic Ministry: Bunkering services generate MVR 157M in revenue

According to the Ministry of Economic Development and Trade, bunkering services have generated MVR 157 million in revenue to date.

The government launched bunkering services on September 19, 2024, as part of its economic revitalization efforts. State media reports from the Economic Ministry indicate that these services had accrued MVR 44.9 million in revenue by December of the previous year.

This year, bunkering services have yielded MVR 112.2 million as of last month. The highest revenues for the year were recorded in February, March, and April, with an increase exceeding MVR 20 million during these three months, as stated by the Economic Ministry.

Revenue from bunkering services this year is itemized as follows:

• January: MVR 10,008,987.54

• February: MVR 21,943,908.40

• March: MVR 21,293,722.72

• April: MVR 24,139,564.21

• May: MVR 8,040,384.56

• June: MVR 13,099,903.56

• July: MVR 13,603,460.78

Revenues from areas near bunkering facilities are reported as:

• Ihavandhippolhu: MVR 3,645,348.14

• Kaafu Atoll: MVR 128,770,474.30

• Noonu and Vaavu Atoll: MVR 24,663,362.64

State media reports ministry statistics confirming the continuous and uninterrupted provision of bunkering services. Attempts by Sun to obtain these statistics from both the Economic Ministry and the State Trading Organization (STO) were unsuccessful.

STO and Maldives Ports Limited (MPL) are actively involved in providing bunkering services in the northern region of the country. STO collaborates with Vitol, a Dutch company, in delivering these services.

Upon the service's launch, Economic Minister Mohamed Saeed stated the objective was to progressively develop the service and achieve a profit of MVR 400 million. The minister had previously announced initiatives to acquire additional land in the Ihavandhippolhu area designated for bunkering, with plans to establish a port equipped with fuel storage facilities. Additionally, a 24-hour call center was established to attract customers for bunkering services.

International bunkering commenced as an offshore service, utilizing two vessels for its provision: the 3,258-tonne MT Marine Angel and the 3,929-tonne MT Marine Bella. These vessels are specifically designed and certified for such service, possessing full compliance certificates with international safety and security standards issued by LR Class and the flag state. These vessels were jointly acquired by STO and Vitol under a bareboat charter concept, granting STO full rights and eventual ownership of the vessels after two years.

Last month, the Ministry of Economic Development announced its search for partners to provide bunkering services in conjunction with the port in L.Fonadhoo.

It is important to note that the government has faced criticism from the opposition, who contend that the bunkering service, despite being lauded as a significant project, is being implemented in a rudimentary manner, not aligning with standard bunkering practices.