By Susan Smith, Staff Reporter 
AFTER A two-week rush for petrol at local service stations caused by a 'seeming' shortage of the product, Petrojam and local petroleum retailers are claiming that petroleum supply for their operations is back to normal. "I checked with all my people to see if there are still shortages, and I am satisfied that deliveries are made and things are back to normal," said Mr. Byron Shirley, Human Resource Manager of Petrojam Jamaica Limited.
The panic at the pumps started on Thursday after an explosion and a fire at Petrojam on October 27, damaged the refinery.
BACK TO NORMAL
The local petroleum suppliers are also confident that supply conditions are back to normal and will remain so for the rest of the year based on their current flow of supplies and reassurances from Petrojam.
"From a Shell perspective, can supply both Montego Bay and Kingston with petroleum products and there is availability of the supply," informs Mr. Mario Vulinovich, country chairman for the Shell Company Jamaica Limited. He said his company has two methods of receiving petroleum. "Petrojam is one of our suppliers and we import our own from Trinidad," he explained. However, companies such as Total who depend solely on Petrojam for its petroleum supply say that things are back to normal at their service stations. "It has been working OK," says Mr. Luc Maiche, managing director for Total Jamaica Limited. "All of our supplies come from Petrojam and we were informed last week that there will be enough," he said. Mr. Maiche said that one of the main problems in getting the supplies was the long line up at the loading racks at Petrojam. The Financial Gleaner contacted Texaco Caribbean to find out its position and was told that with the absence of the managing director no one else could give an update on the matter. Nevertheless, with the delays at Petrojam's loading racks identified as the major problem which lead to the perceived shortage of petroleum The Financial Gleaner questioned Petrojam on its future solution to that problem.
In his response to the question Mr. Shirley said that the co-ordination at the loading rack is not Petrojam's responsibility. The marketing companies he said were to be blamed for the chaos. "The source was the scheduling of the trucks," he said.
"The marketing companies were sending too many trucks and Petrojam will not build another set of loading racks because it is not financially practical," he added. Mr. Shirley said that the petrol rush did not cost a loss of time for the company but resulted in many of its staff members having to work overtime to accommodate the rush.
"Our staff stayed up way into the night for that but in a case of national crisis we are not really complaining, he said. He also dispelled the notion that there are delays in shipment and clearance on the wharves.
"The ships come directly to the storage tank here at the refinery through pipelines," he explained declining to state the schedule of these shipments. Mr. Shirley reported that although the company had to import and deliver more than the average supply of refined petroleum to retailers, "the quantity sold is neither here nor there.
"The difference is stored," he said responding to the question as to whether or not Petrojam had imported more than it sold to meet the local demand.
The Minister of Commerce, Science and Technology, Mr. Phillip Paulwell had forecast that Petrojam would have had to import approximately 26,000 barrels per day to meet the demand for petrol. Petrojam currently imports petroleum from Trinidad and Venezuela. Mr. Shirley said supplies are also obtained from Mexico under the San Jose Accord and Ecuador. He said countries such as Nigeria, Caspian and England have been considered as alternative sources for import however the economics of importing from these countries is not practical.
"The freight alone would make the cost of the product horrible," he said.
Motorists queuing up at a service station shortly after the Petrojam fire on October 27.
The Financial Gleaner questioned Petrojam on its future solution to that problem.
In his response to the question Mr. Shirley said that the co-ordination at the loading rack is not Petrojam's responsibility. The marketing companies he said were to be blamed for the chaos. "The source was the scheduling of the trucks," he said.
"The marketing companies were sending too many trucks and Petrojam will not build another set of loading racks because it is not financially practical," he added. Mr. Shirley said that the petrol rush did not cost a loss of time for the company, but resulted in many of its staff members having to work overtime to accommodate the rush.
"Our staff stayed up way into the night for that but in a case of national crisis we are not really complaining," he said. He also dispelled the notion that there are delays in shipment and clearance on the wharves.
"The ships come directly to the storage tank here at the refinery through pipelines," he explained declining to state the schedule of these shipments. Mr. Shirley reported that although the company had to import and deliver more than the average supply of refined petroleum to retailers, "the quantity sold is neither here nor there."
"The difference is stored," he said responding to the question as to whether or not Petrojam had imported more than it sold to meet the local demand.
The Minister of Commerce, Science and Technology, Mr. Phillip Paulwell had forecast that Petrojam would have had to import approximately 26,000 barrels per day to meet the demand for petrol. Petrojam currently imports petroleum from Trinidad and Venezuela. Mr. Shirley said supplies are also obtained from Mexico under the San Jose Accord and Ecuador. He said countries such as Nigeria, Caspian and England have been considered as alternative sources for import. However, the economics of importing from these countries is not practical.
"The freight alone would make the cost of the product horrible," he said.
