Saeed: USD 80M revenue generated from bunkering service

Economic Minister Mohamed Saeed, on Monday, said that the newly launched bunkering service, introduced to increase dollar revenue and profitability, has generated USD 80 million in revenue to date.

Speaking at a press conference at the President’s Office, Minister Saeed emphasized that the service represents a new revenue stream that was previously unavailable to the country.

He expressed optimism that revenue generated through the service would continue to increase, while highlighting that generating such significant revenue without established port infrastructure represents a major achievement.

Alongside the bunkering service, the government plans to develop a specialised large-scale port in Ihavandhippolhu and introduce a range of maritime services. These will include ship-to-ship services, crew changes, water bunkering, vessel maintenance, and the provision of supplies to ships. However, as physical construction of the project has yet to begin, the State Trading Organization (STO) is currently providing bunkering services through its vessels stationed at various locations.

Responding to a journalist’s question regarding previous statements that bunkering could generate USD 400 million annually, Saeed clarified that the remarks were made from a political platform and represented a target the government aims to achieve.

He further clarified that he had never stated that revenue would reach the figure immediately.

The Minister added that while the party has outlined various strategic visions, the progress achieved so far has significantly strengthened confidence that these objectives can be realised.

The Maldives officially launched international bunkering services on September 19, 2024, to supply fuel to large foreign vessels. The initiative forms part of the government’s efforts to diversify the economy and generate additional revenue beyond the tourism sector.

The service is being provided in Ihavandhippolhu, a strategic location along major cargo routes in the Indian Ocean. The operation is managed by STO and Maldives Ports Limited (MPL) in collaboration with international energy company Vitol Group. The service provides both Very Low Sulphur Fuel Oil (VLSFO) and Marine Gas Oil (MGO).