The Russian oil improves the allocation of diesel by province, but “only satisfies about 50% of demand”
14ymedio, Madrid, 8 April 2024 — The arrival of the NS Concord on March 29 in Matanzas with 90,000 tons of Russian oil – 697,000 barrels – has given Cuba a break, but it is never enough. “The allocation of diesel for the economy increased to 1,100 tons per province; however, this figure satisfies only 50% of demand. Meanwhile, gasoline production is moving at a good pace,” said the Minister of Energy and Mines, Vicente de la O Levy, this Sunday.
In a meeting he held with Prime Minister Manuel Marrero and local authorities to review the distribution of products in the libreta (ration book), among other things, the senior official said that during the next few days there will be an electricity deficit, due to the lack of 200 megawatts per day. The liquefied gas, however, is assured for April, May and part of June thanks to the “financial solutions” found, he said without giving further details.
The senior official stated that during the next few days there will be an electricity deficit, due to the lack of 200 megawatts per day. The liquefied gas, however, is assured for April, May and part of June
The Russian fuel, the second shipment sent by Moscow to Havana after March 17, when 650,000 barrels of crude oil valued at about 50 million dollars arrived, will help, if the forecasts are met, to improve the transport of products for the basic basket. The population is very concerned about the chronic lack – together with the decrease in the number of products and their quality – of the food subsidized by the State. President Miguel Díaz-Canel admitted this last Thursday in his program From the Presidency, attributing the lack of funds for the products to the U.S. sanctions.
The situation of the last months of 2023 and early 2024, the leader promised, will improve this April and May. “We can confirm, without any doubt, that the basic products will be available until the month of June,” he said.
Distribution will be key but is complicated, according to the authorities, due to the catastrophic lack of fuel, which disrupts transport from the ports to the provinces. Díaz-Canel mentioned the nationally manufactured electric vans presented at the Havana International Transport Fair – held last week – that will help in provincial distribution, but they will not be a total solution, since they do not solve the interprovincial distribution, he said.
“We have to do everything we can to get food to the people. The search for alternative transportation is required, to give a ’hit’ to the distribution and make sure these products reach the families,” Marrero said this Sunday, adding that the work of the ports is also essential.
“We have to strengthen the work of the ports, the efficiency, the completion of the staff and also the discipline,” he added.
The meeting also involved Vladimir Regueiro Ale, Minister of Finance and Prices, who admitted that the shortage of inspectors at the provincial level helps to maintain “abusive prices.”
The meeting was also attended by Vladimir Regueiro Ale, Ministers of Finance and Prices, who admitted that the shortage of inspectors helps to maintain “abusive prices”
“That analysis must start with the territory, what else can we do to ensure stability in the work of the inspectors, to avoid corruption, so that this function is really exercised. How are we going to fight prices if there is no constant inspection of this important matter in compliance with what is established?” asked Marrero.
The Prime Minister insisted on interventionism and said that it is needed to control prices, taking into account the particularities of each municipality, and he emphasized the “importance of the cost and expenditure sheet of products and services as a decisive tool in agreeing on prices.”
The response of economist Pedro Monreal to this policy was not long in coming. “One of the main official economic tricks in Cuba maintains its primacy: the alleged centrality of ’cost sheets’ in the formation of prices, ignoring the supply-demand relationship and a realistic exchange rate.”
Translated by Regina Anavy
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