CAIRO - A fuel crisis is taking its toll on Egyptians, creating a black market in a country seeking to make its way out of an economic quagmire, a few days ahead of the first anniversary of the January 25 Revolution. The price of butane gas has jumped to LE45 ($7.50) per canister in Cairo and petrol stations have run out of fuel, while officials say there's no supply shortage. A canister should only cost about LE4. "Many petrol stations have put up signs reading 'No petrol or diesel fuel'. The situation is critical," said Hossam Arafat, the head of the Oil Department at the Federation of Egyptian Chambers of Commerce. Arafat added that the supply gap was around 25 per cent nationwide, while Upper Egypt is suffering the most, with the shortage reaching 35 per cent. "It is a supply crisis," he stressed. The crisis has prompted profiteers and gangsters to rob fuel stores in some governorates. In the Mediterranean city of Alexandria, authorities seized 550,000 litres of petrol and diesel fuel, being illegally stored in the west of the city. The police also seized 10,786 butane canisters and 701,792 litres of petrol, before it could be sold on the black market in Cairo. Authorities raided a store in the Red Sea Governorate, confiscating 2,600 litres of gasoline. On Monday, Minister of Planning and International Co-operation Fayza Abul Naga said that supply exceeds local demand and the Government has no intention of increasing fuel prices. "The rumours are partially linked to the IMF mission, as some people think the Fund stipulates lifting fuel subsidies,” she added. Arafat explained that there has been a problem of unloading fuel containers, due to gales hitting the coasts of Egypt, creating the supply crisis. "The crisis has created a black market with many [illegal] kiosks selling petrol and diesel fuel on the Cairo-Assiut Highway. A tin of 20 litres diesel fuel sells for LE35. The supply gap is estimated at 20 per cent in Greater Cairo, 25 per cent in the Delta and 35 per cent in Upper Egypt," he added. According to Arafat, the Oil Ministry has not increased fuel supplies for the stations, claiming that the current quantities are enough to satisfy the demand. The Egyptian General Petroleum Corporation said it has raised daily supplies by 300 tonnes of petrol to meet demand. Petrol consumption comes to about 15,000 tonnes per day, according to official reports. Egypt's current oil and condensate production is currently in the range of 700,000 barrels per day, while gas output is around 6 billion cubic metres per annum, according to official reports.
