Bolivia faces acute gas supply shortfall amid subsidies and reduced deliveries

Bolivia’s gas sector is under severe strain. Production of natural gas has fallen 55% over the past eleven years, while the state continues to subsidise 79% of the domestic price, paying only $1.3 per MMBTU compared with a reference price of $6.05. Analysts warn that if Bolivia can no longer export and must import gas, the cost could rise ten‑fold, with international spot prices reaching $14 ‑ $18 per MMBTU.

In the Santa Cruz department, the Association of Private Fuel Retailers (Asosur) reports that Yacimientos Petrolíferos Fiscales Bolivianos (YPFB) is delivering only about 50% of the fuel needed. Around 188 stations now receive as little as 25,000 L of diesel or gasoline, down from roughly 40,000 L, forcing long queues and limiting deliveries in provinces to once or twice a week instead of every other day. The combined effect deepens the national energy shortfall and heightens concerns over industrial costs and consumer access.