MACL Reduces Jet Fuel Prices Following Government Negotiations

Maldives Airports Company Limited (MACL) has reduced jet fuel prices following negotiations with the government, according to Transport Minister Mohamed Ameen.

Global fuel prices have risen amid continued disruptions to fuel supply linked to the conflict involving the United States, Israel and Iran since February 28. In response to the increase in global fuel costs, MACL raised the price of jet fuel sold at Velana International Airport from USD 1.19 to USD 1.69 per litre in March, marking a 42 percent increase.

MACL Managing Director Ibrahim Shareef previously stated that the company had been compelled to increase prices due to the global surge in fuel costs. Several media outlets later reported that jet fuel prices had been raised again in April.

Speaking at a press briefing on Wednesday held by the special cabinet committee established in response to the Middle East conflict, Ameen said the increase in jet fuel prices had become a major concern for many. He stated that discussions between the government and MACL resulted in the company reducing the jet fuel price by 24 cents per litre.

Ameen also said developments related to the conflict, including the reopening of air corridors in the Middle East, could provide signs of recovery for the Maldives in the coming weeks.

The rise in jet fuel prices has also led airlines operating to the Maldives to increase ticket prices.

State Trading Organization, which supplies jet fuel to MACL, primarily imports refined petroleum products from Oman, leaving the Maldives vulnerable to supply disruptions linked to tensions in the Middle East.

The government has previously stated that it is exploring options to secure fuel supplies from countries other than Oman.