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Fuel Overview

Fuel supplies throughout FSM are provided by Vital Group through FSM Petroleum Company (FSMPC) a state owned private company. FSMPC provide Bulk Storage and distribution throughout the 4 state capitals and a small number of outer islands.

The FSMPC is currently the largest supplier of energy lifeline products and services in the Federated States of Micronesia and Nauru, and also manages the largest Fuel Farm on the island of Guam, located in the Mariana Islands. The product mix is diesel 53% Gasoline 35% Kerosene /Jet Ai 10% 2% lubricants with a turnover of approximately 2.3m barrels per year ( source: FSMPC 2012 Financial statements and independent audit report

FSMPC owns, operates and leases a significant number of assets and infrastructure across Micronesia, and have an ongoing comprehensive Asset Rehabilitation Program across their various operating sites. Vital specialises in the management of fuel and aviation facilities, and improving them to international standards. 

Bulk fuel supplies come directly from Guam and Singapore and are shipped directly into the 4 main sea ports by tanker. Pohnpei. Chuuk, Yap and Kosrae

Petrol (Mogas), Diesel and Jet A1 are the only fuels supplied in bulk by FSMPC to the islands. Diesel is also used in the production of electricity through generators thus creating the single biggest demand for the fuel throughout the country.

Petrol (Mogas) is primarily used for the retail market however Diesel (APO) is in largest demand.

Contingency stocks as indicated by Vital group operations Manager is generally 100% of demand

Each state capital has bulk storage

For more information on government and fuel provider contact details, please see the following links: 

4.1 Micronesia Government Contact List

4.7 Micronesia Fuel Providers Contact List

Information may also be found at: http://www.mytravelcost.com/petrol-prices/ which is updated monthly. 

 

FSM PC Depot Pohnpei

 

FSM PC Depot Chuuk

 

FSM PC Depot Yap

 

FSM PC Depot Kosrae

 

Fuel Pricing

Fuel pricing is unregulated and large variations of 25-30% occur in the retail petrol market. As with other commodities State taxes apply.

However FSMPC operates a pricing policy framework adopted in 2009, which provides a framework to stabilise domestic prices against international volatility. Prices are benchmarked against island neighbours pump prices.

Wholesale prices are given to major customers which are generally limited to state government s for Electricity Supply and use in Public works and with commercial operators such as United Airlines. The whole sale prices at least for National users such as United Airlines are constant throughout FSM

Pricing of fuels increase the greater the distance from Guam. Fuel in Kosrae is 50-75% higher than the other states.

Fuel is taxed across FSM

Fuel Prices per Litre as of: 2018

(local currency and USD - $)

 

 

 

 

Pohnpei

Chuuk

Yap

Kosrae

Petrol

$3.7/USG /$093/Lt

 

 

4-6.00 /USG $1.5/Lt

Diesel

3.9.USG/ $0.98/Lt

3.80-4-50.USG &1.10/Lt

 

USD1.75/USG40.55.Lt at Port for shipping vessels

 

5.

Paraffin

NA

 

 

 

Jet A-1

 

1.75 /USG %0.55/Lt Wholesale for shipping ex Port

 

 

Seasonal Variations 

There are no seasonal variations affecting the supply of supply of fuel to the states.

Seasonal Variations

Are there national priorities in the availability of fuel? (i.e. are there restrictions or priorities for the provision of fuel such as to the military?)

Diesel generated electricity supply is the priority on each main island in each state

Is there a rationing system?

No

Is fuel to lower income / vulnerable groups subsidized?

 

Can the local industry expand fuel supply to meet humanitarian needs?

Yes

Is it possible for a humanitarian organization to directly contract a reputable supplier / distributor to provide its fuel needs?

Yes

Fuel Transportation

FSM operates small fleets of several tankers in each of the states. 8-15000Lt tankers for deliveries in each state from the bulk stores. Deliveries are to the retail stations operated by Vital and well as to government and commercial customers

 Fleet

  • 8 x Tanker Pohnpei
  • 4 x Tanker Yap state
  • 4 x Chuuk State
  • 2 x Kosrae ( only one operational at time of assessment)

Standards, Quality and Testing

FSM PC undertake fuel sampling at the bulk delivery at discharge. Basic test are undertaken locally by FSMPC. There are however no comprehensive testing laboratories in FSM and fuel samples are sent to Guam for testing by SGS

Industry Control Measures

Do tanks have adequate protection against water mixing with the fuel?

Yes. Water is not used for bulk tank fuel discharge

Are there filters in the system which monitor where fuel is loaded into aircraft?

No

Is there adequate epoxy coating of tanks on trucks?

Yes

Is there a presence of suitable firefighting equipment?

Yes

Standards Authority

Is there a national or regional standards authority?

No Standards are inetnal to FSMPC as are quality tests

If yes, please identify the appropriate national and/or regional authority.

NA

If yes, are the standards adequate/properly enforced?

Yes via SGS Guam

Testing Laboratories

Are there national testing laboratories?

Fuel Testing is done on site at the Bulk depots. Flash point tests is undertaken at discharge form vessel. Sample test are shipped to SGS in Guam for quality measurement

Fuel Quality Testing Laboratory

Company

SGS

Name 

 

Address

810 West Marine Corps Drive, Hagatna, Guam, 96910, Guam

Telephone and Fax

671-588-2923

Contact

 

Standards Used

 

Disclaimer: Inclusion of company information in the LCA does not imply any business relationship between the supplier and WFP / Logistics Cluster, and is used solely as a determinant of services, and capacities.

Please note: WFP / Logistics Cluster maintain complete impartiality and are not in a position to endorse, comment on any company's suitability as a reputable service provider.

 


 

 

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