2024-10-08 19:29:52
El Oro and Zamora Chinchipe (bordering Peru) are the provinces with the highest per capita consumption high fuel consumption (diesel and gasoline). In Oro, consumption is up to double that of Pichincha.
According to information collected by the Ministry of Economyduring the process of building the plan to reduce the subsidy of the extra gasoline and eco countryit was established that “the highest fuel consumption, paradoxically, is not recorded in large cities but in border territories.”
Furthermore, a recent incidence of crime groups organized that carry out the so-called punctures (in oil pipelines and other infrastructures) for the extraction of fuel.
The biggest incentive for all these facts is that gasoline in Ecuador is very cheap compared to other economies in the region.
More fuel is consumed in Oro and Zamora than in Pichincha
The generalized fuel subsidy encourages illegal smuggling activities in neighboring provinces.
For example, The Gold y Zamora Chinchipe (bordering Peru) are the provinces with the highest per capita consumption
high fuel consumption (diesel and gasoline). In Gold, consumption reaches double that in Pichincha; and in the case of Zamora, consumption is 40% higher.
Likewise, fuel consumption per capita in Galapagos is 42% higher than that of Guayas and 26% higher than Pichincha. When referring to per capita consumption, it refers to the consumption of gallons per inhabitant.
In the case of clandestine drilling, $75.9 million was lost in 2023; but it must be taken into account that this data would only represent 20% of punctures. That is, only the little that the authorities have been able to detect.
In this context, reducing the extra and eco-country gasoline subsidy is not only a necessity to comply with the financing agreement with the International Monetary Fund (IMF)but it is an important step to cut off illicit businesses (which also include illegal mining); and would also allow resources to be allocated to expand social coverage or increase public works. (J.S.)
By: LA HORA Newspaper