Petrol pump shortages still problematic

Queues of cars outside petrol stations in Basra are now becoming a common site in the sweltering heat due to a shortage of petrol stations and outdated pumps. Muhammed Ahmed, who was lining up to fill his tank in the 50-degrees Celsius weather at one of the filling stations in downtown Basra, told IRIN that since the beginning of the month, he had been queuing like this every time he wanted to fill his tank. "The only other option I have is to buy petrol on the black market. There are now a lot more cars here, especially from neighbouring countries. But the number of stations and the amount of petrol remains the same." The cost of petrol on the black market is approximately five times higher than of the normal price. At present 20 litres of petrol costs 1,000 Iraqi dinars (US $0.70 cents). On the black market, the same amount can cost up to 5,000 dinars ($4.00) at a time when unemployment is high and wages for those who are working remain low. Local estimates indicate there are approximately 500,000 cars in Basra, not including those from the surrounding area and neighbouring countries. According to Fadil Gabbar, who is in charge of the al-Jabila petrol station, there is no shortage of petrol in Basra. The long queues are due to the fact that there are only eight filling stations operating in the city which has a population of 1.2 million people. "Each filling station has an average of three pumps and at any one time one pump is broken," he told IRIN in Basra, adding that everyday, many convoys of cars come from other southern governerates to fill their tanks in Basra city as well. Faisal Khalaf, director of the South Distributing Company branch in Basra, told IRIN that the company had repair teams continuously examining pumps and repairing them. But the equipment was outdated and old. "It’s not only that, the main Basra refinery has been demolished twice during the Iraq-Iran war and the Gulf war of 1991. The refinery was repaired but just barely worked. No renovations have occurred since then. This is strongly affecting the quality of the petrol." Wissam al Abdalla, a taxi driver, is feeling the effects of poor quality petrol. He has to change the fuel pump every few days in his car. "It's the quality of the petrol. It’s very bad for all the new cars. You fill the tank and the car works properly for only a few days, and then the pump quits. Most people who have bought new cars, if not all of them, have the same problem," he explained. "Fuel pumps are very expensive here, costing between US $30 and $35. This petrol spoils the pump very quickly," he complained. The vans and big buses in Basra are using diesel, while the other cars use petrol with either low or high octane, according to Khalaf. This week the South Distribution Company will offer premium petrol in Basra for the first time since the end of the latest war. "The price will be 50 dinars [less than US 0.2 cents] a litre while the lower quality one costs 20 dinars." The fuel representative for the Coalition Provisional Authority (CPA) in the south, Kevin Thomas, said they had supplied 42 new petrol pumps for Basra and nearby Maysan, all which had been installed. "A further 16 pumps have been provided for Basra alone. They are stored at Muftiyah and are ready to be installed. Repairs are being carried out on four stations in Basra and this includes new pumps. The repairs will be completed by the end of June," he said, adding that the CPA had assigned army teams to assist the repair crews. The CPA has also installed traffic-control measures such as concrete barriers, to help the queues of cars move more efficiently. It is also asking the police to stay at the stations to help, especially since corrupt ex-station managers have been selling fuel at high prices and keeping fuel for themselves. The police are also escorting petrol tanker-trucks into the stations in order to stop drivers from selling fuel or having it hijacked and stolen. Petrol distribution companies and private investors are expecting to construct new petrol stations in Basra and the surrounding areas. A total of 10 new stations are being planned. On average, seven million litres of petrol is produced in Iraq per day and 12 million litres a day is imported. Consumer demand is approximately 19 million litres per day, according to the CPA. While the imported petrol is of a higher standard, the problem of dirty storage tanks and tankers reduces quality. These are being cleaned by the petrol companies.