According to the Ministry of Finance, transfers to EDL reached $1.13B by the end of 2015, substantially lower than the $2.04B transferred over the same period in 2014.
This decline mainly resulted from the 44.7% yearly decrease in payments to fuel and oil gas suppliers KPC and Sonatrach, which reached $1.12B by the end of 2015. In reality, and although the volumes of imported fuel and gas oils rose over the year, the overall yearly payments mirrored the bearish trend of global oil prices, noting that the average price of crude oil dropped 47.7% y-o-y in 2015 to $51.94/barrel. However, the amount of fuel oil imported increased by a yearly 0.51%, while the amount of Gas oil imported increased by a yearly 9.13%.
Furthermore, EDL’s contribution to the oil bill increased to 4.8% in 2015, up from its previous share of 1.9% in the period January-December 2014.
Out of the government’s primary expenditures, which reached $8.85B in the period Jan-Dec 2015, EDL transfers represented a share of 12.8% compared to a share of 21.3% by December 2014.
Contribution of EDL in the Total Oil Bill (End of Year)
Source: MoF