A robust control system will be put in place to implement the proposed targeted fuel subsidy system

Addis Ababa, July05, 2022 (MOTRI) - The Ministry of Trade and Regional Cooperation, the Ministry of Transport Logistics and the Petroleum and Energy Regulatory Authority have issued a joint statement on the matter.

The Minister of Trade and Regional Relations, Gebre Meskel Chala, said the government is implementing a number of reforms the day after the change, one of which is the planned oil subsidy.

He said the government has been importing oil for foreign exchange through a non-policy subsidy system in the past few years. .

He said one of the main reasons for this illegal activity is that the price of oil sold in the country is very low compared to other neighboring countries.

He said the government has approved the establishment of a research-based subsidy system to reduce the burden on the public.

Deputy Director General of the Road Safety and Insurance Fund at the Ministry of Transport and Logistics, Abdulber Shemsu, on his part said the ministry has made adequate preparations to implement the proposed fuel subsidy from next month.

The subsidized drivers are three-legged badges, taxis, minibuses, minivans, city buses, cross-country buses, public servants and public services. He said 102 liters of City Bus, 65 liters of cross-country buses and 25 liters of public service are allowed.

Director General of the Petroleum and Energy Authority, Saharala Abdullahi, said the government considers oil to be one of its strategic products and that the Authority will closely monitor the implementation of this practice.

According to Saharala, the Tele Birr application method will be used to speed up the transaction process.

 

 

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