Venezuela's Fuel Shortages Persist Despite Iran Deliveries

Venezuela's fuel shortages persist despite Iran deliveries

Caracas, (UrduPoint / Pakistan Point News - 14th Jul, 2020 ) :Long queues at gas stations around the country underscore Venezuela's continuing fuel shortages, despite Iran stepping in to help its Latin American ally with a major fuel shipment last month.

"Iranian petrol is an illusion that has lasted a month," driver Nestor Hernandez told AFP in Maracaibo, the country's second-largest city.

He said he still had to queue for hours at petrol stations in the city that once was Venezuela's booming oil capital, where long lines, sleepless nights and anxiety have now become the norm for those seeking fuel.

Despite enormous reserves, oil-producing Venezuela is experiencing a serious fuel shortage, exacerbated by the economic effects of the coronavirus pandemic.

"The gasoline never arrived," says Pedro Perales, a resident of Puerto Ordaz in the eastern state of Bolivar, which borders Brazil.

He said he spent two days straight, including the night, in his car waiting his turn to fill up with gas.

Even then, he could only get half a tank, the quota per vehicle.

Up until 2018, Venezuela was sending 500,000 barrels per day to the United States alone, and received in return 120,000 bpd of light oil, diluents and fuel-producing supplies.

Sanctions, however, have forced Venezuela -- which used to refine enough oil for its own needs -- to turn to allies such as Iran to alleviate a desperate gasoline shortage.

Tehran duly sent five tankers in May, laden with 1.5 million barrels of fuel, additives, spare parts and other materials.

The situation improved initially at gas stations with dollarized prices in several regions, but it did not take long for kilometer-long (half a mile-long) queues to form again.

The exception is Caracas: service stations in the capital are functioning normally again after running dry in March, during the first weeks of the coronavirus lockdown.