Addis Abeba — Amid recent reports of an expanding contraband fuel trade in Ethiopia, Kassahun Gofe (PhD), Minister of Trade and Regional Integration, has announced legal and administrative measures against individuals and entities engaged in illicit activities within the fuel trade system.
In a recent post shared on his social media page, the minister disclosed that regulatory actions had been taken against 34 fuel stations in recent months. Additionally, 385,947 liters of illegally circulated fuel were seized, generating over 27.9 million birr in government revenue.
"Illegal activities observed include selling fuel through manual transactions instead of digital payments, unjustified refusal of service at fuel stations, and underreporting fuel stocks to regulatory bodies," he highlighted.
While addressing concerns about fuel availability, Kassahun remarked, "Although long queues have been observed in cities, there is no actual shortage of gasoline supply in the country."
Despite these assurances, Addis Standard reported that fuel scarcity has been observed in several cities across the country, exacerbating contraband trade and causing price hikes.
Earlier this week, Addis Standard highlighted severe and worsening fuel shortages in Adama City, located in the Oromia region. This scarcity has been attributed to the rampant proliferation of black-market fuel sales. Residents reported that fuel on the black market is typically sold in small quantities, such as two liters, at exorbitant prices ranging from 280 to 300 birr.
In late November 2024, Addis Standard also reported significant gasoil shortages in the Amhara region. The regional government responded by implementing a weekly quota system. However, residents of cities such as Bahir Dar, Gondar, and Debre Birhan described the situation as dire, with black-market fuel prices climbing to 225 birr per liter.
Similarly, drivers in Hawassa, the capital of the Sidama Regional State, have reported acute and worsening fuel shortages. This crisis is also attributed to widespread black-market sales. In an interview with Addis Standard, residents disclosed that waiting in line for over four days at gas stations has become commonplace. Alternatively, many are forced to purchase fuel from the black market, where prices have exceeded 170 birr per liter.
