Gasoline consumption nears five billion liters annually

Kuwait Petroleum Corporation (KPC), through its subsidiaries, is responsible for supplying all types of fuels in Kuwait. A statement from KPC made clear that the corporation is committed to implementing its strategy of providing a mix of fuels that are both economically and environmentally optimal to meet the country’s current and future energy needs.

Latest data from KPC show that spending on fuel for vehicles by citizens and residents in Kuwait totaled KD453.23 million in fiscal year 2023-24. During this period, 4.86 billion liters of gasoline were consumed, slightly down from 4.89 billion liters in the previous fiscal year. The decrease in local demand led to a reduction in total gasoline sales by less than 1 percent.

Regarding the types of gasoline and their consumption in Kuwait during the past fiscal year, the data revealed that premium gasoline accounted for the bulk of gasoline consumption in the country, with around three billion liters, with a sales value of KD 256.3 million,consumed in last fiscal year, compared to 3.04 billion liters in the fiscal year 2022-23.

Special gasoline ranked second, with total consumption of 1.81 billion liters, valued at KD190.2 million dinars, compared to 1.8 billion liters in the previous fiscal year. Ultra gasoline came in third, with a total consumption of 34 million liters and an estimated value of KD6.8 million, compared to 40 million liters in 2022/2023. The data shows that total consumption of the three types of gasoline in the last fiscal year amounted to 13.3 million liters per day.

In this regard it is worth noting that Kuwait recalibrates gasoline prices every three months through a committee that reviews the various types of state-provided subsidies. The prices of premium and special gasoline remain fixed, with premium priced at 85 fils, special at 105 fils, diesel at 115 fils, and kerosene at 115 fils.

Meanwhile, the price of ultra gasoline is adjusted according to global oil prices. In the last review, its price was reduced by 8.8 percent, or 20 fils, to 205 fils, effective from last July until the 30th of this September. The country’s annual consumption of kerosene is approximately 108 million liters, with sales valued at KD12.4 million, which marks a significant decrease of about 37 percent in sales, down from 172 million liters in fiscal year 2022-23, which had a value of KD19.8 million.

Kuwait Petroleum Corporation also meets the Ministry of Electricity, Water, and Renewable Energy’s (MEWRE) requirements for all types of fuel needed to operate gas and steam turbines for energy generation in Kuwait. During the fiscal year 2023-24 the ministry’s energy demand amounted to approximately 800.44 billion British Thermal Units (BTU), representing a 5 percent increase over the previous year’s needs.

The average quantities of liquid and gaseous fuel supplied to power and water stations during the past fiscal year were as follows: 342.57 billion BTU of liquefied natural gas, 172 billion BTU of lean gas, 238.6 billion BTU of fuel oil, 16.4 billion BTU of gas oil, and 30.7 billion BTU of crude oil.

The corporation periodically negotiates with LNG suppliers to secure long-term import contracts, aiming to meet local needs with the highest efficiency and at the lowest possible cost. LNG is received at the permanent import facilities in the Al-Zour area, which includes eight storage tanks — among the largest in the world — as well as two berths for receiving LNG tankers. Recently, the country signed a long-term agreement with Qatar to import LNG for the next 15 years.

It is also worth noting that all steam turbines at the power generation stations operated by the MEWRE have been converted from heavy fuel oil to low-sulfur fuel oil produced at the Al-Zour refinery. Low-sulfur fuel oil is a cleaner and more efficient fuel than heavy fuel oil, leading to reduced harmful emissions and improved air quality. The data also showed that the production rate of liquefied gas (cooking gas) cylinder filling factories in the Shuaiba and Umm Al-Aish areas reached approximately 17.4 million cylinders of various sizes during the fiscal year 2023-24. compared to 16.51 million cylinders in 2022/2023, marking an increase in production of approximately 5 percent.

Meanwhile, the distribution of gas cylinders used in homes (12 kg size) amounted to about 16.5 million cylinders in the last fiscal, marking an increase of 6 percent from the 15.6 million cylinders in fiscal 2022-23.

Kuwait Petroleum Corporation, through its subsidiary Kuwait National Petroleum Company, provides gasoline fueling services to citizens and residents across various regions of Kuwait by constructing gas stations that cater to local needs. In line with this, the company continues to implement its strategic plan to build new gas stations to keep pace with urban and population growth throughout the country.

The design of these new stations represents a significant advancement, featuring modern architecture and technological innovations that offer multiple services with ease and convenience, while also being environmentally friendly.

In this context, a temporary fuel station was opened recently at the entrance to Al-Mutlaa Residential City in the north of the country. As a result, the total number of fuel stations has reached 67 (61 permanent stations and 6 mobile stations). The company aims to increase this number to 148 stations by 2028 and 229 stations by 2040.

It is also worth noting that the local private sector owns 42 fuel stations under Al-Sour Company and 43 stations under Al-Oula Local Fuel Marketing Company.