Switzerland: Confederation reduces compulsory stocks for petroleum products | 07/22/22

BERN (dpa-AFX) – The low level of the Rhine and logistical problems with foreign railways are affecting the replenishment of mineral oil products in Switzerland. The Federal Office for National Economic Supply (BWL) therefore allows the compulsory stocks to fall below the target stock by 6.5 percent.

The measure applies from next Monday to the beginning of September, as the BWL announced on Friday. Although there are sufficient petroleum products on the international market, they can only be transported into the country to a limited extent.

The BWL cites two reasons for this. Firstly, the prolonged drought led to record-low water levels in the Rhine. Therefore, the Rhine ships have to drastically reduce their loading quantities in order not to run aground.

Secondly, cross-border rail traffic is struggling with staff shortages and construction work. This leads to cancellations and long delays.

With the decision of the BWL, the mineral oil compulsory stocks can fall below their minimum stock by 245,000 cubic meters by the beginning of September. This corresponds to 6.5 percent of the total mandatory stockpile of petroleum products prescribed by the federal government or 27 percent of one month’s sales.

The last fall below the mandatory stockpile quantity for mineral oil products dates from the also very dry summer of 2018. Even then, transport on the Rhine was only possible to a limited extent.

Switzerland obtains petroleum products from abroad primarily via the railways and the Rhine. Inland, there is also the refinery in Cressier NE./AWP/men

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