The Government Office has conveyed the prime minister's direction to complete a draft decree that will replace Decree No. 83/2014/ND-CP on petroleum trading and later amendments. The Ministry of Industry and Trade must lead the work and urgently review the draft with the ministries of finance, justice, construction and public security, the Government Inspectorate and other relevant agencies.
One main requirement is to restructure the market and reduce the number of petroleum wholesalers. The ministry must improve capacity for sourcing and stockpiling and responsibility for ensuring supply. The changes must follow a feasible timetable and avoid disrupting the market. The prime minister also ordered unnecessary intermediaries and circular resale of fuel to be reduced, lowering distribution costs and making the system leaner, more transparent and more efficient.
The new price mechanism must operate according to market principles under state management. Agencies must monitor the factors forming petroleum and retail prices and retain tools to regulate and stabilize prices and prevent speculation, manipulation and unreasonable increases. The ministry must work with public security and the Government Inspectorate to address shortcomings identified through inspections and prevent organizations or individuals from exploiting policy for illicit gains, losses and waste.
The ministry must seek comments on the draft and proposals in the October 8 submission, respond to them, complete the dossier and submit it to the government no later than November 10. The minister will be responsible to the government and the prime minister for the quality and schedule of the work.
The ministry must also develop plans to ensure petroleum supplies in all circumstances and prevent shortages or disruptions. Supply must meet the production, business and consumption needs of residents and companies, support socio-economic development and protect national energy security.
According to the ministry, the decree will complete the legal framework for petroleum trading, ensure energy security and establish a market operating under market principles with state management. The draft retains suitable rules and revises provisions that have revealed practical shortcomings.
The draft would give companies more autonomy while increasing regulatory responsibility and oversight. Under the proposal, the state would stop publishing a periodic base price. Wholesalers and distributors would set and publish retail prices in their own systems using a formula in the decree. After a price change, a trader would declare it and notify the regulator for inspection and oversight.
Sources: Dân Trí
