Rs 750 million to build three fuel storage tanks
14 April 2011
The State Trading Corporation has started negotiations with the financial sector in conjunction with the construction of three fuel tanks in the port area following the approval of Cabinet on 18 March. This project, costing Rs 750 million, will be materialized by the end of 2013, told the Le Matinal a source familiar with the matter.
Two new petrol tanks, each with a storage capacity of 7500 tons and a diesel tank with a capacity of 10,000 tons will be built during the next two years.
The stock imported from India certainly ensures a supply of more or less smoothly now, but any delay of the carrier, especially with the problem of piracy in the Indian Ocean, may have negative repercussions, up to cripple our economic activities, says it in the middle of importation.
To date, STC uses, albeit at a cost, vessels belonging to the two private oil companies, Shell and Total. After the recent Cabinet decision, they have quickly arisen to try to take the lead in building new storage tanks. STC has however maintained its position and intends to invest in this project without the support of the private sector to have some "bargaining power'' at the time of the distribution of petroleum products to local companies.
STC finds himself obliged to build two pipelines by June this year for the unloading of petroleum products because now it is one that will deliver cargo of white oil (gasoline and diesel), the bulk fuel oil (heavy oil used by the Central Electricity Board) and DPK (gasoline, jet aircraft) in Mauritius. The current provisions could delay the delivery drastically in the harbour area, requiring at least six days to complete the unloading of all products on board. Demurrage - demurrage fees - to $ 25 000 for each day of delay, do not facilitate the task of the authorities concerned.