Bolivia Links Large-Buyer Diesel to World Prices

Bolivia · ENERGY

Bolivia moved diesel for largest industrial buyers to a market-tracking price, ending a decades-old subsidy. State oil company YPFB sells at initial Bs 18 per litre, and regulator ANH will publish the daily reference price.

Who Pays the New Price

Under Decreto Supremo 5676, signed 16 August 2026, the new Bs 18 per litre price applies only to large buyers. These include “clientes directos,” “grandes consumidores” (GRACOS), and “usuarios directos”.

The decree itself sets the volume tiers. Direct users buy 120 to 5,000 litres monthly; direct clients buy 5,000 to 19,999 litres; GRACOS buy over 20,000 litres monthly.

Hydrocarbons Minister Marcelo Blanco confirmed the bands. “The rest of the sectors will maintain the price established in January of Bs 9.80 per litre of diesel,” he said.

Decree calls Bs 18 “initial referential price.” Ministry of Hydrocarbons and Energy will later set a variable formula via ministerial resolution.

Who Keeps the Subsidy

Drivers who fill directly at a service station keep the subsidised Bs 9.80 a litre. Stations are capping container sales at 120 litres a month.

The decree leaves unchanged the prices set by Decreto Supremo 5516 and 5652 for these consumers. The subsidy, a fiscal cost, remains in place for them.

Economy Minister Jose Gabriel Espinoza put fuel spending at about US$40-50 million a week on 10 July 2026. That is the import bill, not the subsidy cost.

No official annual subsidy figure has been announced.

Mechanism and Daily Publication

The reference price will be calculated daily based on international diesel import costs plus applicable taxes, says Red Uno. The regulator ANH will publish the resulting price on its website each day.

The decree gives the ministry five working days to set the methodology by resolution. The regulator then has five more before it starts publishing a daily price.

Daily publication has not started. DS 5676 gives ministry five working days for methodology, regulator five more, and stations two for billing adaptation.

Bs 18 is the “Precio Referencial Inicial” that holds until the calculated price is published.

Import Bill and Dollar Shortage

Bolivia’s total imports in June 2026 were USD 621.8 million, down 16.4% from May, according to the National Institute of Statistics (INE). Fuel and lubricant imports in June were USD 140.9 million, down 42.9% from USD 246.8 million in May.

First-half imports were USD 4,738.5 million, exports USD 6,407.5 million, a surplus of USD 1,669 million. Fuel and lubricant imports in the first half were USD 1,203.3 million, down 11.3% year on year.

Official exchange rate per BCB: Bs 12.13 on 1 August, 12.08 on 4, 11.86 on 9, and 11.58 effective 17 August. Parallel sell was Bs 11.61 on 1 August against official 12.13, about 4.3 percent below.

On 17 August parallel was Bs 11.52-11.55 against official Bs 11.58. Since currency unification the old Bs 6.96 peg is superseded.

Business Groups Objecting

Six business groups opposed the measure on 17 August. CAO president Klaus Frerking said sacrificing agriculture, which demands 16% of diesel, to produce all Bolivia’s food is not correct.

Frerking added they are not responsible for possible food shortages. CAO vice-president Yamil Nacif expressed an absolute no.

CONCABOL expressed absolute rejection and declared a state of mobilization. Choferes executive Lucio Gomez warned long-distance fleet transporters will be harmed.

Cadetran La Paz president Alvaro Ayllon said lines will continue. Ferreco president Wilson Alanoca rejected the decree for affecting cooperatives.

Comite de Defensa del Productor (Codepro) warns the Bs 18 / Bs 9.80 gap will feed resale and informal fuel markets. Asosur La Paz (service stations) is halting galonera diesel sales.

Cainco Santa Cruz president Jean Pierre Antelo backed the move. “There is no diesel more expensive than the one that does not exist.”

Practical Cut-off and Enforcement

Practical cut-off is 120 litres a month for container sales. Those needing more must register as Usuario Directo and buy at Bs 18.

El Deber’s rule of thumb: Bs 9.80 for vehicles filling directly at service stations, Bs 18 for large-volume purchases. Usuarios Directos buy at service stations while Clientes Directos and GRACOS buy from storage plants.

Frequently Asked Questions

What is the new diesel price for large buyers in Bolivia?

Large buyers pay initial referential Bs 18 per litre (about US$1.55 at official 11.58 bolivianos per dollar on 17 August 2026). Updated daily based on international markets.

Who still pays the subsidized diesel price in Bolivia?

Drivers filling directly at a pump keep paying Bs 9.80 a litre. Anyone buying more than 120 litres a month in containers must register and pay Bs 18.

How does the new diesel price link to world markets?

Decree 5676 says the reference price will be calculated daily based on international diesel import costs plus taxes. The Ministry of Hydrocarbons will set the exact formula later.

What is Bolivia’s official exchange rate for the boliviano?

The official rate was Bs 11.58 per dollar effective 17 August 2026, per the BCB. The parallel rate was Bs 11.52-11.55, below official.