Fuel Overview

There are two main fuel suppliers in RMI.  Marshall Island Energy Company (MEC) the main state owned enterprise and Mobil. MEC currently provides about 80% of fuel the market by volume
MEC currently provides diesel and LPG gas. Diesel is primarily used for the production of electricity throughout the major atolls and for the fishing industry and retail supply. MEC Also provides Gas (bottles) for domestic consumption. Mobile provides gasoline and Jet A1 and Avgas.

Mobil’s operations are winding down in RMI and it is envisaged infrastructure and customers will be passed to MEC.

Bulk fuel supplies are provided to the outer islands of Jaluit, Ebeye, Kili and Wotje for their central power generation. Outler island domestic supplies are carried in 20 and 200Lt Drums.
Clipper Oil also service the substantial fishing industry with MGO and can provide by tanker Jet A1 and ULP.

For more information on government and fuel provider contact details, please see the following links: 4.1 Government Contact List and 4.7 Fuel Providers Contact List here.

Diesel Powered Electricity

Diesel powered electricity generation is the main source of lighting used in the country, followed by solar energy. Figure 9.7 shows that a little over two out of three households (67.1%) use electricity for lighting, whereas 22.9% use solar energy.

A small number of households (3.7%) use kerosene for lighting and 6.3% use other sources, such as batteries, candles, or their own generator.

Note that the 1999 census reported kerosene as the most common source of fuel for lighting. Sources of lighting used in the country vary to a large extent by atoll/island. While all households in Kili use electricity for lighting,

Fuel Pricing

There is no fuel pricing regulation in RMI. The two main companies are in direct competition with each other with Mobil consistently priced higher than MEC on the retail market.

Seasonal Variations 

Seasonal variations do not cause any changes in the supply to the main port of Majuro where fuel  bunkers are located. Interisland transport however can become vulnerable to deliveries during the November to March Cyclone season.

Fuel Transportation

Bulk fuel is transported directly into Majuro to bulk tanks for Mobil and for the MEC.

Fuel is transported around Majuro the islands using a 15000Lt tankers. This however the only Atoll where this occurs.

Bulk Inter island fuel supplies are carried by way of vessel fuel tanks in 400-500MT vessels. Vessels are supplied by MISCO, use the fuel tanks for storage and discharge at Atoll ports. The Atolls of Kili, Jaluit and Ebeye and Wotje all have central power generation requiring bulk fuel supplies.

Outer islands receive fuel in 20 and 200Lt drums for local refuelling of generators and vehicles.

Standards, Quality and Testing

There are no standards or quality testing facilities in RMI. Fuel supplies are tested by SGS in Guam. Technical personnel are flown in to undertake sampling of imported bulk fuel upon arrival.