On 16 August 2026, the Bolivian Government enacted Supreme Decree No. 5676, authorising Yacimientos Petrolíferos Fiscales Bolivianos (YPFB) to sell Diesel to Direct Clients and Large Consumers (GRACOS, by its Spanish acronym) at a new “Reference Price”, and enabling Service Stations and Liquid Fuel Retail Points to sell that same Diesel to Direct Users, also at the Reference Price.
The measure responds to the sustained increase in Diesel import costs, the volatility of international prices, and the flexibilisation of the exchange rate — factors that, combined with the regulated pricing regime in force in the domestic market, have generated a growing fiscal burden on the Bolivian State. Supreme Decree No. 5676 seeks to mitigate that financial impact on YPFB without compromising the continuous supply of fuel.
For all other consumers — those who do not qualify as Direct Clients, GRACOS or Direct Users — the final prices set out in Supreme Decree No. 5516 (as amended by Supreme Decree No. 5652) remain unchanged.
Companies that act early — adjusting budgets, reviewing supply contracts and preparing their billing systems — will be better positioned to navigate this transition.
The New Reference Price
The Reference Price comprises the import costs and the taxes applicable to the sale of Diesel. The Ministry of Hydrocarbons and Energy will set the calculation methodology by Ministerial Resolution, and the Regulatory Entity will publish the resulting price daily on its institutional website.
Until that methodology takes effect, the Decree fixes an Initial Reference Price of Bs 18.00 per litre (eighteen 00/100 bolivianos), value-added tax (VAT) included. And until the Regulatory Entity, Service Stations and Retail Points adapt their billing systems — for which they have up to two (2) business days from the Decree's publication — Direct Users may only purchase Diesel at YPFB's Liquid Hydrocarbon Storage Plants and/or YPFB Logística S.A.
Destination of the Price Differential
The differential between the Reference Price and the wholesale price set in Supreme Decree No. 5516, as applied to YPFB's sale of Diesel to Direct Users, must be deposited in favour of YPFB, on behalf of the Service Stations and Retail Points involved, within the terms, conditions and procedure that YPFB itself will establish within up to five (5) business days.
Implementation Timeline
The Decree sets out a tight chain of deadlines: the Ministry of Hydrocarbons and Energy has up to five (5) business days to approve, by Ministerial Resolution, the methodology for calculating the Reference Price; the Regulatory Entity has a further five (5) business days, counted from notification of that Resolution, to issue the corresponding Administrative Resolution; and, as noted, Service Stations and Retail Points must adapt their billing systems within just two (2) business days.
An Additional Tariff Benefit
Supreme Decree No. 5676 also defers to zero percent (0%) the import tariff on unleaded petrol for motor vehicles (tariff subheadings 2710.12.13.10, .20, .30 and .40), until 31 December 2027. It additionally amends the Regulation on Prices of Petroleum-Derived Products (Annex 1 to Supreme Decree No. 5516) so that YPFB commercialises petrol — with or without vegetable-origin additives — to direct clients and GRACOS holding a valid certificate issued by the Regulatory Entity, at the final consumer price set out in that same Regulation.
Practical Implications for Businesses
Supreme Decree No. 5676 calls for immediate attention from several actors along the fuel supply chain:
Financial planning
Direct Clients and GRACOS — typically fuel-intensive companies such as mining, agribusiness, transport and construction operators — must prepare their budgets for a price that is no longer fixed but tied to import costs and applicable taxes.
Operational compliance
Service Stations and Retail Points face a window of just two business days to adapt their billing systems, a considerable logistical challenge given the scale of the change.
Cash-flow management
YPFB will need to coordinate with Service Stations and Retail Points on the deposit of the price differential within the terms it sets itself, which calls for contractual clarity and financial traceability.
Sector impact
Fuel-intensive sectors should closely monitor the daily publication of the Reference Price on the Regulatory Entity's website, as it will now directly affect their cost structures.
Strategic Perspective
Supreme Decree No. 5676 marks a significant shift in Bolivia's hydrocarbons pricing policy: for the first time, a significant segment of Diesel consumers — large industrial and commercial clients — moves from a fixed, subsidised price regime to one tied to actual import costs. For the State, the measure eases a growing fiscal burden without abandoning its commitment to continuous supply; for affected businesses, it introduces a cost variable that was previously predictable and now requires active monitoring.
A note of caution: at roughly USD 1.55 per litre at the prevailing exchange rate, the new Reference Price is close to what Bolivia's informal market was already charging (Bs 19–25/litre, per recent reports), suggesting a reasonably calibrated level to close that gap. Yet Bolivia's own experience — echoed elsewhere in the region under differentiated or subsidised fuel schemes, such as Venezuela and Ecuador — shows that price gaps tend to shift rather than disappear: here, the subsidised price still available to consumers buying under 120 litres (Bs 9.80/litre) could become the new focal point for arbitrage. Whether the mechanism meets its fiscal goal without opening a new diversion channel is something only implementation will show.
The real test of the measure will come in the coming days, as the Ministry of Hydrocarbons and Energy defines the calculation methodology and the Regulatory Entity begins publishing the daily Reference Price. Companies that act early — adjusting budgets, reviewing supply contracts and preparing their billing systems — will be better positioned to navigate this transition.
