Georgia expects to start adoption of Oil Stockholding Act soon

Oil&Gas Materials 2 December 2020 16:52 (UTC +04:00)
Georgia expects to start adoption of Oil Stockholding Act soon

BAKU, Azerbaijan, Dec.2

By Tamilla Mammadova – Trend:

Georgia still does not have emergency oil stocks and showed no progress during the reporting period, Trend reports via Energy Community Secretariat's annual implementation report.

Several issues (e.g. the lack of storage facilities, the impact of the oil stock obligations on small importers, market competition, and retail prices) remain to be resolved prior to the adoption of the legislation, expected to commence by the end of this year.

The quality of fuel is regulated by the 2014 Decree of the Government on the qualitative norms of motor petrol and the 2005 Decree on diesel fuel composition norms, analysis methods, and their introduction. The Decrees should be amended in order to reflect the current EU standards for petrol, diesel, and gas oil for non-road mobile machinery (NRMM).

"Georgia does not have emergency oil stocks. The current draft of the Oil Stockholding Act is being consulted with economic operators. The adoption process is expected to start by the end of this year," the report said.

As reported, currently, there are no procedures in place to release emergency oil stocks. Under the draft Law, the Minister in charge of oil has the authority to release by decree the stocks in case of a supply disruption.

From 2017, the allowed sulfur content in petrol has been reduced to a maximum of 10 ppm. As to the sulfur content in diesel fuel, it lags behind the Directive‘s standards.

Instead, it was set at 50 ppm in 2019. However, it will be decreased to 10 ppm from January 1, 2021. There are no specifications relating to gas oil used for NRMM.

A national fuel quality monitoring system that includes sampling and analyses of fuels is not established. Detailed penalty measures are specified in the Administrative Offenses Code of Georgia.


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