# Bolivia fuel crisis triggers road blockades and reform calls

> Live situation record from CLSTR: https://clstr.news/situations/bolivia-fuel-supply-crisis-in-santa-cruz
> Updated: 2026-09-09T23:26:21.000Z. Sources: 15. Developments: 3.

The fuel crisis in Santa Cruz has deepened, characterized by persistent diesel and gasoline shortages that have triggered widespread social unrest and road blockades. Producers in regions such as Cuatro Cañadas, San Julián, Yapacaní, and Villa Paraíso have reinforced blockades on major routes, including the Santa Cruz–Cochabamba highway, demanding direct dialogue with the Minister of Hydrocarbons.

Protesters continue to demand the repeal of Supreme Decree 5676, which established a reference price of Bs 18 per liter for large-scale consumers. While the government implemented Supreme Decree 5698—allowing small producers to purchase up to 2,500 liters of diesel per month at Bs 9.80 per liter—many producers argue this does not resolve the underlying crisis.

In response to the instability, Governor Juan Pablo Velasco has proposed a structural shift by ending generalized fuel subsidies in favor of an open market with private operators. He suggested that prices could reach approximately Bs 16.50 per liter to reflect real costs, arguing that the current subsidy system fosters scarcity, smuggling, and parallel markets. To alleviate immediate supply issues, Velasco has specifically proposed a 90-day tax exemption on VAT and IT for private fuel imports.

Escalating tensions have led the Asamblea de la Cruceñidad to issue an ultimatum to the national government. Civic leaders have set October 10—Democracy Day—as a deadline to address demands including the fuel crisis, the restoration of regional competencies in health, education, and infrastructure, and a ‘50/50’ resource distribution model for the 2027 budget. Failure to meet these demands may result in escalated street protests and a cabildo. Minister of Productive Development Óscar Mario Justiniano stated the government is prioritizing results over specific deadlines while maintaining coordination with productive sectors.

## Claims

- Producers criticize the 120-liter monthly limit of subsidized diesel. (disputed by 3 sources)
- Supreme Decree 5698 allows small producers to purchase up to 2,500 liters of diesel per month at Bs 9.80 per liter. (disputed)
- Agricultural producers have established road blockades in Yapacaní, San Julián, Cuatro Cañadas, and Villa Paraíso. (corroborated by 4 sources)
- Supreme Decree 5676 removes diesel subsidies for large consumers, raising the price to Bs. 18 per liter. (corroborated by 3 sources)
- Producers claim the fuel policy threatens winter harvests of sunflower and sorghum. (corroborated by 3 sources)
- Blockades are occurring despite a national state of exception. (corroborated by 2 sources)
- The Bolivian Police have deployed anti-riot units to address the blockades. (corroborated by 2 sources)
- Santa Cruz Governor Juan Pablo Velasco proposed that YPFB stop importing and marketing subsidized fuels to allow for an open market. (corroborated by 2 sources)
- Under an open market model, fuel prices could reach approximately Bs 16.50 per liter. (corroborated by 2 sources)
- Governor Velasco expects to announce measures to resolve diesel and gasoline shortages in Santa Cruz during September. (single source)
- The price of diesel for citizens and public transport remains at Bs. 9.80 per liter. (single source)
- The Comité pro Santa Cruz is reviewing progress on 10 points previously agreed upon with YPFB regarding fuel distribution. (single source)

## Timeline

### 2026-09-09: Santa Cruz civic leaders threaten protests over fuel crisis

Civic leaders in Santa Cruz, Bolivia, have set an October 10 deadline for the government to address fuel shortages and regional autonomy demands, threatening protests if unsatisfied.

7 sources. https://clstr.news/cluster/juan-pablo-velasco-proposes-fuel-tax-exemptions-and-energy-autonomy

### 2026-08-31: Bolivia fuel crisis triggers road blockades and market reform proposals

Bolivia faces a fuel crisis as agricultural producers in Santa Cruz reinforce road blockades. Leaders propose moving to an open market to end widespread subsidies and address diesel and gasoline shortages.

9 sources. https://clstr.news/cluster/santa-cruz-civic-committee-calls-assembly-over-fuel-crisis

### 2026-08-26: Comité pro Santa Cruz to evaluate fuel supply commitments on August 31

The Comité pro Santa Cruz will meet on August 31 to evaluate government and YPFB commitments to resolve fuel shortages in Santa Cruz, Bolivia.

3 sources. https://clstr.news/cluster/comit-pro-santa-cruz-to-evaluate-fuel-supply-commitments-on-august-31

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Cite as: Bolivia fuel crisis triggers road blockades and reform calls. CLSTR, https://clstr.news/situations/bolivia-fuel-supply-crisis-in-santa-cruz
