Hawassa Fuel Shortage Worsening

Addis Fortune (Addis Ababa)

By Abenet Aseffa

2 May 2011

Transportation problems in Hawassa are worsening due to a shortage of fuel in the city. Lately, fuel distributers in the town were unable to deliver sufficient fuel for customers’ demands.

Melaku, 35, has been driving a bajaj for the past two years. It is becoming more difficult to obtain fuel from stations in the town, he told Fortune.

“Three months ago, the fuel stations tried to provide benzene, but now we pay more than 42 Br for one litre from the black market,” he lamented.

Sintayehu Tekle, 29, who uses his bajaj as a taxi, shared the problem.

People like him are compelled to go to Shashemene, Zeway, and Addis Abeba to obtain fuel, according to Sintayew.

“As recently as three months ago, we could get fuel at least once or twice a week. But now, there isn’t any, not even once a were,” he told Fortune. “We have to incur additional costs and stop working to find fuel.”

The stations sometimes siphon off and hoard fuel in order to sell it at a higher profit as they are anticipating further fuel price hikes, Sintayew claimed.

Zenash Taye, a mother of three and a resident of Hawassa’s Tabor District, is also feeling the increase on her pocket.

She paid between 40 Br and 45 Br for her children to commute to school where, only two weeks before, it had cost her between eight Birr and eleven Birr to take them to school, Zenash claimed.

The problem is related to the increasing number of vehicles in the city, according to Ayele Tulu, head of trade expansion at the city administration.

“The existing six fuel stations cannot meet the increasing demand,” he told Fortune. “The capacity of each tanker is 25,000 litres. A total of 150,000 litres is not enough to meet demand.”

To solve the problem permanently, the existing fuel stations have started expanding their capacity to 50,000 litres, Ayele claimed. No fewer than five new investors have received licences to build modern tankers with capacities to hold 100,000 litres, he said.

Ayele admitted that the fuel stations siphon fuel and sell it on the black market, trading the town administration is aiming to stop.

The city transport office increased prices on public transport services by 15 cents to 35 cents for distances ranging from 2.5km to 15km in line with the price rise in fuel, it announced.

However, there are some people charging more than the price set by the administration, Samuel Abeto, an official in the office, confirmed.

“We are planning to find permanent solutions to the problem by introducing a city bus and mini bus stop,” said Samuel.

AllAfrica – All the Time