Fuel consumption in the Dominican Republic registers growth

Santo Domingo – The number of gallons of imported fuels has increased significantly in the hydrocarbons market in the Dominican Republic, according to statistics of the General Directorate of Internal Taxes (DGII), whose behavior will be due to the increase in the number of vehicles, economic activity, and the electricity demand.

In the year 2021, the total of fuels (avgas (aviation gasoline), fuel oil, gasoline, LPG, diesel oil, and kerosene) taxed by the DGII amounted to 1,539,724.6 gallons, not counting tax-exempt hydrocarbon derivatives; in 2022 that figure rose to 1,639,094.8 gallons, while in January 2024 there were already 137,827.2 gallons.

This year’s January figure also exceeds the same month in 2022 and 2021. Last January, a volume of 137,827.2 gallons was registered, while the previous reference years were 107,014.8 gallons and 123,250.5 gallons, which shows that taking into account the Dominican vehicle fleet of 5,464 million units, including motorcycles and the energy demand of over 3,600 megawatts, the country is a great consumer of fossil fuels.

Also, hydrocarbons are a significant contributor to government tax revenues. In 2023, revenues from specific taxes applied to hydrocarbons, the DGII collected RD$43,763.8 million for a growth of RD$2,599.3 million in 2022. Meanwhile, the ISC (Selective Consumption Tax) collected RD$29,709.2 million, with a difference of -0.14 %.

The DGII reports an increase in 2022 fuel oil imports, after gasoil, gasoline, and kerosene, and less in LPG, gas, and optimum gasoil. Figures for 2023 are not complete.

Imports of interconnected fuel oil, tax-exempt, increased significantly. Not only does the DGII record the volume of fuel imports. The Ministry of Industry and Commerce and Mipymes (MICM) also has its registry, although not as specific as the DGII.

According to the MICM registry, there has also been an essential growth in the volume of hydrocarbon imports. According to this record, total imports in 2019, including natural gas, were 62,200,189 gallons; in 2020, they were 58 679,621 gallons, and in 2021, they reached 65,902,084 gallons. In 2022, 66,370,540 were imported, and as of December 2023, 72,404,226 gallons of LPG, diesel, premium and regular gasoline, FO #6 generation fuel oil, and natural gas were estimated.

VEHICLE FLEET
The use of fuels in the Dominican vehicle fleet is also an indicator of the growth of fuel imports because out of a total of 5.464 million units accounted for in 2022, more than 1 million are automobiles, and more than three million are motorcycles that run on gasoline. Some 311,548 vehicles were new entrants in 2022.

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TRANSIT
The Dominican vehicle fleet is mainly made up of motorcycles, according to DGII data. The total passes 5.464 million units, with a higher concentration (53.2 % in the National District, Santiago and La Vega).

URBE
Most registered vehicles belong to the National District, Santo Domingo, and Santiago de los Caballeros, with a share of 21.0%, 17.7%, and 8.7%.

56.1% of the transport units are motorcycles.