Comunicados - PM

DEMOCRATIC REPUBLIC OF TIMOR-LESTE
OFFICE OF THE PRIME MINISTER


MEDIA RELEASE

Dili, December 15, 2006


Government signs deal for cheaper diesel and improved distribution

Lower diesel and gas prices and improved distribution are expected following a Government agreement for a joint venture with the East Timor Trading Company (ETTC) on Wednesday (13/12).

The agreement between the Government of Timor-Leste and Kuwaiti-owned ETTC will establish the Timor Fuel Trading company, which will develop a distribution network throughout the country for quality diesel fuel at lower prices and build temporary and long-term fuel storage facilities.

“The increased availability of diesel gas at low prices throughout the country is one way that the government can help consumers, especially in rural areas,” the Prime Minister said. “This agreement, once materialized, will be a major breakthrough for economic development in Timor-Leste.”

The shareholder agreement provides for profit-sharing of 70% for ETTC and 30% for the Timor-Leste Government, with Timor-Leste maintaining a 51% share of the joint venture. However, Timor-Leste will not contribute with any equity. There will be no financial implications or liability for Timor-Leste. As soon as a Timor-Leste owned petroleum company is established, it will take over the government’s held shares. The agreement entitles ETTC to the management of the company for the duration of 10 years.

At the signing of the agreement, the Prime Minister emphasized that the policy of this Government and the Prime Minister is that no monopoly should be granted, including any contract to which the government is a signatory party.

“The driving force of any agreement must remain competitiveness and the market economy,” Dr. Ramos-Horta said. “Even when the government is involved in a joint venture with the private sector, this should not be interpreted as the government using its authority to block others, thus creating special privileges for any particular company.”

The Prime Minister said that he expects this joint venture to bring many benefits to Timor-Leste, but that the success of the company will be determined by the quality of their service and the price of the product, and nothing else.

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DEMOCRATIC REPUBLIC OF TIMOR-LESTE
OFFICE OF THE PRIME MINISTER
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MEDIA ALERT

Dili, December 18, 2006

Prime Minister Ramos-Horta to meet with Australian Minister for Justice and Customs

H.E. Prime Minister Dr José Ramos-Horta and the Australian Minister for Justice and Customs, The Honorable Chris Ellison MP, will hold discussions on issues of mutual interest today, Monday (18/12).

Following the meeting, Prime Minister Ramos-Horta and Minister Ellison will available to the media at 4.55 P.M. in the entrance hall of the Palácio do Governo.

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