Fuel
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Liberia Fuel Study
A study on the fuel market and infrastructure in Liberia was commissioned by UNJLC as part of their ongoing remit to assist the Humanitarian Community in their mission to Liberia,
The following is the Executive Summary of the Fuel Study completed on 10 December 2003:
The aims of the study included determining the impact that the UN Mission, particularly UNMIL, may have on the country’s fuel economy examining the cost of fuel in with particular emphasis on the economy of supply to the UN Mission; examining the potential for co-ordination of fuel policy within the humanitarian community; examining critical fuel infrastructure development requirements; and considering any fuel-related impact on the environment.
Liberia has a poor fuel infrastructure and a relatively low domestic fuel requirement. There appears to be little usable fuel infrastructure outside Monrovia. Such infrastructure as exists in Monrovia requires extensive repair. The needs of the Mission, which will almost double national consumption, will stretch existing facilities.
The main fuel used in Liberia is diesel. This will also be the principal fuel used by the UN Mission for ground transport and power generation. However, the major fuel need for the UN Mission will be aviation fuel (Jet A1), accounting for about 70% of UNMIL’s overall fuel requirements. Significantly, storage for this fuel is very limited.
The following recommendations are made:
- That the prices under the imminent UNMIL “turnkey” fuel contract be extended to the UN agencies once the contract is agreed between UNMIL and the selected contractor.
- That UNJLC be appointed to co-ordinate assessment of the fuel requirements of UN agencies, and to use this information to assist UNMIL in their contract negotiations;
- That priority be given to the refurbishment of storage capacity for aviation fuel. This will be absolutely critical to the success of the Mission;
- That encouragement and support be given to the establishment of a Fuel Standards Inspectorate to assist in bringing transparency and accountability to the market through the enforcement of standards, including calibration and sealing of meters throughout the supply chain. A proposal is with USAID for their consideration in funding this with two international staff and equipment;
- That a project to replace the present practice of using corrosive seawater to clean fuel lines from ships to onshore product storage in Monrovia with more modern “air pigging” be implemented without delay;
- That, in the interest s of lower prices and improved service to consumers, the Liberian Interim Government be encouraged to follow through in practical terms on its commitment to open up the fuel market to competition and to eliminate the present monopolistic and distribution import regime;
- That any programme to refurbish or upgrade the country’s main product storage terminal in Monrovia include the replacement of the existing top-loading gantry with a bottom-loading gantry that meets international vapour recovery standards;
- That, in the interests of reducing costs of cooking fuel to the populace and reducing the adverse environmental and health impact arising from the manufacture and use of charcoal, encouragement be given to changing the present method of importing filled LPG bottles to importing bulk LPG and filling the LPG bottles in Liberia;
- That oil spillage equipment, booms and fire-fighting equipment be installed at the Monrovia port where fuel is offloaded, and at the main product storage terminal;
- That the crude oil spillage at Monrovia’s Crude Storage Terminal be addressed before the next rainy season to prevent seepage into the water table and health risks through contamination of water supplies.
