Mexico Loosens Gasoline and Diesel Imports for Independent Stations

The move comes months earlier than anticipated, with the energy ministry to begin issuing import permits in April.

February 26, 2016

MEXICO CITY, Mexico – Mexican independent gasoline stations will shortly be able to import gasoline and diesel, a move that will provide consumers with less expensive fuel sooner than the original January 2017 target, Argus reports. The energy ministry will start writing import permits on April 1.

However, despite the moved-up deadline, some have expressed concerns that the regulatory agency won’t be able to meet that target because CRE (the country’s oil regulator) and the energy and finance agencies haven’t outlined mandated rules for the new market.

Mexicans have greeted the energy reforms with cautious optimism, especially as weak oil prices have contributed to revisions to the country’s budget, given that the state owns/operates the Pemex petroleum company. Industry experts predict that giving local drivers an alternative to Pemex would provide a drop in gasoline prices.

“Market participants will be able to optimize costs related to transportation, management and freight, offering better prices to the consumer,” stated Lourdes Melgar, deputy energy secretary.

Pemex CEO José Antonio González Anaya said that he would allow others usage of its terminals and pipelines “for a fair price.” But some wonder if the company will continue to have that attitude if more low-priced competitors move in. “Simply put, no matter what the price per gallon is, consumers want to find the best price they can,” said Jeff Lenard, NACS vice president of strategic industry initiatives.

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