Maldives is set to launch international bunkering services

Minister of Economic Development and Trade, Mohamed Saeed, has announced the launch of bunkering services in Ihavandhippolhu, Haa Alifu Atoll, slated to begin before the end of July. Speaking at a campaign rally held at the main office of the People’s National Congress (PNC), Minister Saeed emphasised that while previous governments have discussed diversifying the Maldives’ economy, tangible efforts to introduce new industries are now being realised.

Announcing the update, Economic Minister Mohamed Saeed said that between 300 to 400 commercial vessels pass through the northern Maldives. If bunkering services are provided to even one percent of these vessels, it could contribute over US$ 400 million to the country’s GDP in the first year alone. Saeed said the project is aimed at ending the economy’s reliance on a single industry, he said.

In March, a term agreement was signed between the State Trading Organization (STO) and Vitol Group, one of the world’s largest energy companies, to provide these bunkering services in Ihavandhippolhu under the Maldives Economic Gateway project. Vitol, with offices in 40 countries, supplies 12 million tonnes of oil annually as bunker fuel and is the largest physical bunker supplier in the Middle East and a major supplier of bio-marine fuel in Singapore.

In addition to the bunkering services, the government plans to build a commercial harbour in Gaadhoo, Laamu Atoll, which will include bunkering services and logistics facilities. An agreement has already been signed with a Chinese-based company to develop the Laamu Atoll Integrated Maritime Hub project.