Gasoline: Huachicol and regulations trigger Magna shortages

La Magna begins to become scarce in Jalisco. Since the weekend, multiple service stations have reported problems supplying the most consumed fuel.

Distributors and experts point out that the new federal regulation to combat tax huachicol is slowing down distribution. In Mexico, in addition to Pemex, private companies operate that supply gas stations. However, the new provisions are complicating the operation of these legally established marketing companies. “The federal government is stopping the fiscal huachicol at all costs. It is setting everyone up with Pemex to sell legal products, but in the meantime, there are shortage problems,” said an energy sector advisor, who requested anonymity.

He explained that, with the new regulation, so-called transfers are prohibited, a common practice in which fuel imported from the United States was moved to intermediate yards to be mixed before being distributed. “They no longer allow making an intermediate stop. The fuel must arrive directly at the service station. This delays delivery and limits the response capacity of the distributors.” Now they must comply with traceability: more permits.

Academic Nicolás García de León, from the Pan American University, agreed that these measures, although they seek to combat smuggling, could aggravate shortages and punish stations that operate within the law. “The problem is not with individuals, but with the ineffectiveness of the State to combat the fiscal huachicol. These rules transfer responsibilities to the private sector, but will generate temporary closures and increase corruption.”

Meanwhile, the National Customs Agency reports that there are seven thousand investigation files involving gas stations, businessmen, transporters and elements of the Navy.

In Jalisco, the problem has visible consequences. “The Silos terminal, one of the main suppliers of the metropolis, closed for not complying with the new regulations,” added the advisor.

A tour carried out by this medium confirmed that the Magna shortage affects several areas in the South of Guadalajara. Of 10 stations visited, only three had “green” fuel, all from brands other than Pemex. And dispatchers acknowledged having no information about when supply will be restored. “We haven’t had ‘green’ gasoline since yesterday. They don’t tell us why or when it arrives. There is only Premium,” commented an employee at a station in López Mateos, near El Palomar. In others, the Magna’s hoses were disconnected and the staff was waiting for the pipe.

Pemex’s El Castillo Storage and Dispatch Terminal faces saturation and uncompetitive prices, which discourages private distributors. “With the new regulations there are more obstacles and Pemex does not have the capacity to serve all the terminals. Businessmen are faced with a maximum price of 24 pesos per liter for Magna, so they are looking for cheaper options. But with terminals closed or paused, the alternatives are few,” warned a gas station representative. “Some stations prefer not to buy… rather than sell at a loss. That is why the shortage will be highlighted.”

New regulation threatens to worsen gasoline shortages

The recent tax provisions of the Tax Administration Service (SAT) to regulate the hydrocarbon market could have the opposite effect than expected: instead of strengthening control over the sale of fuel, they could aggravate the shortage and increase pressure on stations that operate within the law.

This was warned by the academic from the Pan American University (UP), Nicolás García de León Castro, who considers that the new regulation is based on a wrong diagnosis and transfers responsibilities that correspond to the State to the private sector.

“The Government says: ‘I don’t want them to consume illegal gasoline,’ so I supervise individuals. But what it should do is fight organized crime. Let individuals live in peace and address the root problem,” he said.

García de León explained that the so-called fiscal huachicol -smuggling or irregular importation of fuels- It is not resolved with administrative measures, but with an effective security strategy. In his opinion, the authorities intend to solve a criminal problem through bureaucratic controls, which punishes formal businessmen without stopping illicit networks.

“We are talking about organized crimes, both those involving milking and those that bring gasoline of dubious origin into the country. That is the root problem,” said the specialist, who promotes a protection related to the issue.

The academic warned that The new SAT rules, together with the recent agreement of the Energy Regulatory Commission (CRE), could generate a partial paralysis in distribution, since transporters and distributors will have to comply with new technical and fiscal requirements before being able to operate normally.

“These over-regulation policies generate measures that are difficult to comply with, even for formal companies with technical capacity. This will cause delays in the operation of the dispatchers and, consequently, will affect the supply,” he explained.

Among the most complex provisions, he mentioned the requirement to install volumetric controls at all points in the supply chain: from manufacturing to sale. “We are reaching absolutely ridiculous things. The SAT requests volumetric controls from those who manufacture, sell or store hydrocarbons. What real benefit does that represent to the State?” he questioned.

Failure to comply with these requirements could lead to sanctions or temporary closures of stations, affecting the availability of fuel. “If you don’t have the technology, fines come, they close your tank or stop your operation. That will partially paralyze the market,” he warned.

In addition to the operational impact, the academic warned about the risk of corruption that the new controls imply. He recalled that in the energy sector, every time tax procedures are tightened, the incentives to negotiate with corrupt officials increase.

García de León insisted that the problem of the fuel market is not in the lack of regulation, but in the weakness of the State to confront criminal organizations that operate smuggling and illegal distribution.

Voice of the expert
Antonio Sánchez Sierra, academic at the UdeG

“Pipe control seeks to stop smuggling”

In contrast to the criticism of the new hydrocarbon regulations, Antonio Sánchez Sierra, professor at the Department of Fiscal Studies at the University of Guadalajara, considered that the provisions of the Tax Administration Service (SAT) do not represent an obstacle to the supply of fuel in the country.

He assured that The obligations established in the regulations, recently published in the Official Gazette of the Federation, already existed for the concessionaires of the parastatal Pemex and now only extend to other independent transporters and importers..

“I do not consider that this could have an impact. All formal obligations already existed previously, but only for Pemex concessionaires. Today they are simply extended to all those who decide to import or distribute fuel,” explained the specialist.

The academic stressed that the measures are essentially formal and do not imply higher costs for transporters, most of whom already have the required technology. He indicated that the function of the regulations is mainly surveillance and transparency.

“It is not a harmful issue, but rather a control scheme where the carrier will report the origin and destination of the fuel with the consignment note,” he noted.

Sánchez Sierra added that the regulation seeks to combat fiscal huachicol, that is, technical gasoline smuggling that affects established gas stations and public finances.

The academic emphasized that this phenomenon not only damages competition, but also the income of the State, since those who traffic in irregular fuels do not pay the corresponding taxes.

CT