The government has unveiled a strategic initiative to construct a long-term national fuel reserve designed to insulate the island nation from global price volatility and supply chain disruptions exacerbated by unrest in the Middle East. Driven by recent procurement difficulties and escalating energy costs, the administration has identified an urgent need to proactively address shifts in the global market.
The plan, announced by the Minister of Finance and Planning, Moosa Zameer, during a press conference at the President’s Office, aims to establish a storage infrastructure capable of maintaining a petroleum supply sufficient to meet national demand for an entire year. Under the guidance of President Dr Mohamed Muizzu, these facilities will be distributed across three regions to ensure operational resilience. The government intends to consult with the Maldives Monetary Authority to determine the most effective methods for managing the project’s future operations, he said.
"This endeavour will function as a project executed under a broader five-year plan," Minister Zameer said. "At present, we are striving to complete the work of the first phase within a span of approximately two years. It remains an undertaking that absolutely must be accomplished."
As regional conflict has obstructed traditional supply routes, the government is securing alternative avenues for petroleum imports. To reorganise its logistical infrastructure, the state will transfer its primary storage from Funadhoo to the industrial island of Thilafushi. The Funadhoo terminal currently manages a capacity of 291,000 barrels of diesel and 59,000 barrels of petrol, while the State Trading Organisation continues to manage jet fuel for the nation’s airports.