Wednesday, Dec 15, 9:00-10:45 am CET
Fuel Prices Bolivia
Fuel Pricing Policies
"Pricing policy: Fuel prices are uniform, controlled by government, and frozen for years at a time. Since Jan 2009, vehicles with foreign licence plates have been charged international prices, set every quarter. On the domestic market, the price of oil is US$27/bbl. Concerned about declining oil production, government issued Supreme Decree 1202 in Mar 2012, providing a tax credit of US$30/bbl to foreign companies in addition to US$10 in cash they were receiving. As late as Dec 24, 2010, government was reportedly denying any intention to reform subsidies. However, just two days later, as part of a broader subsidy reform, government increased diesel price by 83% and gasoline by 73%, the largest since 1991 when prices were raised by 35%. Government was also to raise the fee paid to oil producers from US$27 to US$59 a barrel.
Protests: The increases in Dec 2010 were completely reversed 5 days later following widespread protests, as was food subsidy reduction.
Consequences of subsidies: Fuel subsidies have amounted to about 3% of GDP in recent years. Year 2005 2006 2007 2008 2009 2010 2011 US$ billion 108 140 288 487 462 666 706 % of GDP 1.1 1.2 2.2 2.9 2.7 3.4 2.9 Government newspaper Cambio.
Information: Government posts current fuel prices on its Web site. In Feb 2011, government created a new ministry of communications, 8 years after such a ministry had been abolished."
(Source: Kojima, Masami. (2013, forthcoming). “Petroleum product pricing and complementary policies:Experience of 65 developing countries since 2009.” Washington DC: World Bank.)
Fuel Prices and Trends
|Gasoline 95 Octane||Diesel|
|in Local Currency||
* benchmark lines: green=US price; grey=price in Spain; red=price of Crude Oil
Fuel Price Composition
Price composition as of 2002/12/01.
Source: example to estimate %-values for each component
At a Glance
Sources to the Public
|Type of Information||Web-Link / Source|
|Other Information||http://www.bcb.gov.bo/ (Central Bank of Bolivia)|
|Other Information||http://www.cbli.org.bo (Bolivian Chamber of Hydrocarbons)|
|Other Information||http://www.bolivia-industry.com (National Chamber of Industry)|
|Pump prices and margins||http://www.hidrocarburos.gob.bo/MHE2012/|