The government is assessing two locations in the greater Male' region to establish a fuel reserve for long-term storage, Minister of Finance and Public Enterprises, Moosa Zameer, has said.
Speaking at a press briefing held by the crisis committee formed in response to global economic uncertainties, particularly those linked to instability in the Middle East, Minister Zameer said efforts are underway in collaboration with the Ministry of Finance and Public Enterprises, the Ministry of Economic Development, Transport and Trade, and State Trading Organisation (STO) to establish a national fuel reserve.
He noted that ongoing disruptions in global markets, especially in the Middle East, are causing fluctuations in fuel prices and making supply more difficult. As a result, the government has decided to establish a fuel reserve to better prepare for such sudden changes.
At the press conference held at the President’s Office, Minister Zameer explained that the project will be implemented in three phases. Work is currently focused on identifying suitable locations, including two sites in the Male' area. Surveys of these sites are expected to begin next week. He added that a final plan; including design work, financing options, and feasibility studies will be prepared and submitted to the President. Further progress will be based on decisions made thereafter.
“A fuel reserve is essential. As we develop the final plan, we will also determine the volume of stock to be maintained,” Minister Zameer said.
Referring to India as a country with established fuel storage systems, the Minister said that once the Maldives establishes its own reserve, a portion will be secured for national use, while any excess could potentially be leased.
The planned reserve is intended to store fuel sufficient for one year. The project will be carried out under a five-year plan, with Phase One expected to be completed within two years.
Currently, fuel imported into the Maldives is stored at Funadhoo near Male'. This terminal supplies diesel and petrol to public services, resorts, and private parties. Its storage capacity is 291,000 tonnes of diesel and 59,000 tonnes of petrol. In addition, jet fuel for Velana International Airport and other airports in the Maldives is supplied by STO.