The management of the national oil company acknowledged that fuel supply constraints were recorded in recent weeks, caused by a “logistical problem.” A full reform of the distribution segment remains dependent on the political calendar.
High fuel price subsidies in Angola are an obstacle to the development of the fuel marketing, storage and distribution segment and a brake on investment in the sector, said the CEO of Sonangol, Sebastião Gaspar Martins, during the company’s traditional annual press conference, held Wednesday, the 25th, in Luanda.
“Since subsidies have existed, no entity operating in the distribution of [petroleum] derivatives in Angola is interested in entering the full market,” said the head of Sonangol, which in 2025 held an 84% market share in fuel distribution.
“TotalEnergies, which is our partner, [as well as] Pumangol or Sonangalp, only operate in the distribution segment. They do not enter the part where we go abroad to buy at USD 1.5 and have to sell here at 30 cents,” Martins noted, referring to the impact of subsidies on Sonangol’s accounts and the fact that the national oil company is the sole importer of fuels, especially gasoline and diesel.
“At no point did we receive a request [from Total] to expand its network; we do not have that.” “If [others] could import, I would be here saying that would be very good,” said the Sonangol CEO, explaining his view: “If others participate, they will reduce this major effort we make to keep the market supplied. Some people noticed there was a shortage [of fuel]. Of course, it was a logistical issue, but this effort of importing at that price and selling at the current price—I don’t know if there are many interested parties.”
“No one wants to invest in this segment because they believe it is not profitable. But we have the responsibility to keep the entire market supplied. And we do,” Martins stressed, placing responsibility for reforms on the Government.
“The owner of the State, of the country, has as its guidance to keep the market more or less in this condition, although it is looking at how it might exit. On the other hand, the fuel distribution market is not closed. Anyone who wants to set up their own filling station is free to do so,” he said, even though the company has been the subject of a ruling by the Autoridade Reguladora da Concorrência (ARC) regarding the monopolistic nature of its fuel distribution activities.
“Even the monopoly label is, in my view, a false image. Sometimes it gives the impression that we almost shut others out or prevent them from entering. But even I, if I want to set up a filling station in the market, I can. It’s the prices that will probably make an individual think twice before investing in distribution,” Martins argued, adding that the company continues “to work with the ARC.”
Privatizing Pumangol?
“We want the ARC to understand that there were investments we made that we need to recover, as is the case with the partnership with Total,” the executive noted. The joint venture reactivated and refurbished 50 filling stations that had been managed by Sonangol and are now operated by the French-origin company.
Source: Expansão
