Domestic oil shortage oil or oil will be reproduced

Zhao Youshan, chairman of the China Petroleum Business Committee’s oil circulation committee, said today that “crushed oil” has already appeared in the circulation of refined oil in some parts of the country, and has affected the current autumn harvest. If the relevant state departments do not timely supervise, this severe situation will trigger the recurrence of large-scale oil shortages.

The 2011 annual meeting of the China Petroleum Oil Commission is being held here. Members from Zhejiang, Inner Mongolia, Fujian, Sichuan and other places are in a hurry and faced with the timing of a downward adjustment of refined oil, they could not obtain normal oil supply from PetroChina and Sinopec.

“We thought that after the price reduction, our private oil companies could get more oil. Who knows, not only is the same as the oil shortage before the price reduction, but also the price of getting oil is even higher.” A Zhejiang private wholesale company CEO I said to the reporter indignantly.

According to him, before the price reduction, zero-grade diesel purchased from the two major oil companies was 8,200 yuan; after the price reduction, the purchase of zero-grade diesel was 8,240 yuan. The price of oil was higher by 40 yuan before and after the price reduction.

Chen Yongxiao is the chairman of Fujian Kuixing Petroleum Gas Co., Ltd. of Fuqing City. He has been engaged in refined oil wholesale business for more than ten years. He owns oil depots and terminals, and has long served more than a dozen customers such as local food and machinery.

He told reporters that since the price reduction, the oil depot has not yet reached a bit of oil. “The Sinopec Fujian Sales Company not only tightened the sales door, but now it also directly inserts oil companies and starts its own operations.”

In other regions, the majority of privately-owned refined oil wholesale and retail companies have also encountered the same situation of less oil, lack of oil and no oil.

“At present, China National Petroleum supplies 80 tons of diesel and 20 tons of gasoline to us every day. It can only meet the needs of 1/10 of our member companies. We serve more than 260 gas stations and serve 40,000 or 50,000 farmers and herdsmen every day.” Chifeng City Yang Shuguo, president of the Chamber of Commerce of the Petroleum Industry, said.

At present, local farmers and herdsmen are harvesting in autumn. At first, he had reduced the supply of oil to 1/3 of the local farmers and herdsmen since the price reduction. If through the municipal government and the Municipal Federation of Industry and Commerce and PetroChina Chifeng Sales Co. negotiate unsuccessful oil increase, then from next week will be reduced by 1/3 of the oil supply.

Breaking the monopoly of China’s oil and building an orderly competition system for the refined oil market has always been the goal and direction that the China Petroleum Petroleum Committee has adhered to since its establishment. According to Zhao Youshan's disclosure, a special report is being submitted to the government of the National Development and Reform Commission and the Ministry of Commerce regarding the current “oil shortage” problem of private oil companies, and it is looking forward to reversing this severe situation quickly and avoid creating a greater crisis of oil shortages.