Govt. looks for fuel distributor

By Sialai Sarafina Sanerivi 28 December 2023, 9:00PM

The government is inviting potential entities to serve as the distributor and agent responsible for overseeing its on-shore fuel facilities in Samoa for five years, commencing 1 August 2024.

The Government owns all fixed fuel facilities in Samoa including terminals and pipelines located in Apia and Salelologa and aviation facilities at Faleolo and Fagali'i airports. 

The government is enhancing its fuel facility infrastructure, with the latest development being the finalisation of three new 2000 Metric Tonne tanks at the Apia Wharf.

As stated in the Expression of Interest document, the government has engaged in a Bulk Fuel Supply Agreement with ExxonMobil, covering the period from 1 November 2023 to 31 October 2028. Consequently, the government has designated the existing distributor as its representative to fulfill the terms and conditions outlined in the contract.

The final tender document for bulk fuel supply in 2023 was made available online and also provided a brief background on the project. 

In 1998, the Government, through the Ministry of Finance as the procuring entity, called the first five year tender for the supply of bulk fuels and the provision of on-shore terminal and distribution operations; this tender was awarded to ExxonMobil Asia Pacific Pte Ltd (“ExxonMobil”). 

In 2003, the second five-year tender was called with supply and on-shore operations contracts being awarded to Shell Fiji Ltd and Petroleum Products Supplies Ltd; this contract was subsequently acquired by Total Fiji Ltd after it purchased Shell Fiji in 2006.

In 2008, the Government decided to separate the bulk fuel supply, on-shore terminal and distribution contracts.

Tenders for the on-shore terminal and distribution contract were called in 2009, 2014 and 2019; Petroleum Products Supplies Ltd (“PPS Ltd”) currently holds the five-year contract which expires on 31 July 2024.

The on-shore terminal and distributor is responsible for purchasing all bulk-supplied fuels from the Government's contracted supplier (currently ExxonMobil). 

They will also be responsible for scheduling medium ranger tankers (MRs) deliveries with the supplier of products to meet the demand for petroleum products and maintain an acceptable minimum reserve stock holding of each product in Samoa. 

They will be responsible for the discharge operations of all M.R. tankers into the bulk fuel terminal at Sogi and at the Apia Wharf. 

They will oversee the management and operation of all terminals and depots agreed and document Operational and Health, Safety, Security, and Environmental standards, covering the storage and transfer of products between the bulk tanks, the loading of delivery vehicles, drum filing, stock control and associated administrative requirements.

The tenders close on 5 February 2024. 

By Sialai Sarafina Sanerivi 28 December 2023, 9:00PM
Samoa Observer

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