Bolivia authorizes refineries to import crude and sell non-subsidized fuel

The Bolivian government has issued Supreme Decree 5701, authorizing refineries to import crude oil for domestic processing and to sell the resulting fuels at market prices without state subsidies. This exceptional measure aims to increase national fuel production, maximize refinery capacity, and reduce the costs associated with importing finished fuels to address ongoing supply shortages.

Under the new regulations, the volumes of imported crude will not be freely determined by refineries but will be programmed and assigned by the Production and Demand Committee (Prode). This committee will coordinate with YPFB and other sources to align imports with domestic needs and pipeline transport capacities. To encourage this transition, the decree establishes a 0 boliviano rate for the Special Hydrocarbon and Derivatives Tax (IEHD) on these specific products until December 31, 2030.

In a related development, transport unions in the Norte Integrado region of Santa Cruz have suspended planned road blockades following agreements with national authorities. The government committed to improving road conditions, specifically targeting pothole repairs and the Warnes-Montero route, while also guaranteeing weekly fuel shipments to specific stations and implementing quality controls to address concerns regarding fuel purity.