Albania Proposes Strategic Shift: State to Take Over Emergency Oil Reserves from Private Sector

Enea Karakaçi, Minister of Infrastructure and Energy (Ministry of Infrastructure and Energy), stated that one of the ministry’s principal priorities remains ensuring the uninterrupted supply of fuel to the market.

Minister Karakaçi announced that a new draft law on the oil reserve, expected to be approved by the government within two to three weeks, will transfer physical custody of the reserve from private operators to a state agency for up to 90 days.

“With respect to the reserve obligation, which is calculated based on last year’s daily turnover, we have notified all operators that they are required to hold a 30-day reserve, with the remainder contracted by other means, to ensure there is no shortage of hydrocarbons.

The blockade of the Strait of Hormuz has not affected supplies to our country.

The new draft law on the oil reserve, prepared in accordance with the European Union directive, will be adopted by the government within two to three weeks. Under the draft law, oil reserves will no longer be held by companies but by a state agency that will ensure the physical availability of hydrocarbons for up to 90 days.”

Minister Karakaçi also reported that retail inspections indicate no abuse in fuel pricing, and that company profit margins ranging from 13 to 14 lekë per litre are acceptable.

“The final retail price in Albania is largely determined by import costs, which makes domestic prices volatile. A cost of 147 lekë excluding VAT reflected the real cost of the product. This indicates a gross profit of 13 to 14 lekë, which is an acceptable margin. We have not observed price abuse, and therefore did not find it justified to convene the board.”

Prime Minister Edi Rama added that Albania does not produce petroleum suitable for final retail use, because the oil we extract is heavy crude. Processing it for consumer-grade fuel would require a refinery and entail high costs for conversion to a usable product.

“As history has shown, this oil has not proven suitable for direct consumer use, except for certain industrial applications.”

March 12, 2026

by AEA in News

Tender for new Porto Romano terminal fails after sole bidder withdraws

The public tender for the construction of Albania’s new commercial port in Porto Romano has collapsed after the single remaining bidder withdrew from the competition. Minister of Infrastructure and Energy Enea Karakaçi confirmed on Wednesday that the company pulled out of the project, citing escalating economic pressures.

“We are facing the withdrawal of the only bidder left in the race for purely economic reasons linked to rising costs,” Minister Karakaçi stated. “As a result of the current crisis, overall construction expenses have surged, and the bidder has used this to justify their exit. The commission will now proceed according to established protocols.”

Addressing the setback, Karakaçi echoed recent remarks by the Prime Minister, suggesting that external forces have actively sought to undermine the infrastructure initiative. “There are various actors attempting to stall and sabotage this critical national project for diverse reasons, including economic motives,” he noted. Despite the hurdle, he emphasized the government’s resolve: “We will devise an alternative strategy. No actor will be able to stop this project, as it is vital to the country’s economic development.”

The Minister also moved to assuage concerns over potential logistical disruptions, clarifying that the delay in selecting a new contractor will not affect daily operations at the existing Port of Durrës. The transition is inherently tied to the “Durrës Marina” real estate development—which will eventually occupy the current port’s territory under a state agreement—but that project is still only in its preliminary phase.

In the interim, the Albanian government is continuing its collaboration with international engineering consultancy Royal Haskoning to reassess the technical and financial criteria for prospective companies interested in taking over the new port’s development.

A Fraught Bidding Process

The ambitious project, officially titled the “New Integrated Commercial Port of Durrës in Porto Romano – Phase I,” was launched by the Durrës Port Authority in 2024 with an estimated budget limit of 39.3 billion Albanian Lek (ALL). The initial phase of construction was projected to span 1,220 days, or approximately three and a half years.

Porto Romano

However, the procurement process has been marked by strict filters and legal friction. In April 2025, the Bid Evaluation Commission announced that only two entities Archirodon Construction and Van Oord Dredging and Marine Contractors had passed the technical pre-qualification stage. Major industry players, including Webuild and a consortium led by Jan De Nul, were disqualified.

This led to a legal clash when the Jan De Nul consortium filed a formal complaint with the Public Procurement Commission (KPP). The KPP ultimately dismissed the appeal in late April 2025, allowing the contracting authority to move forward.

By September 2025, the competition had narrowed entirely. Open procurement data revealed that only one qualified economic offer remained to proceed to the contract signing a final step that has now been derailed by the company’s sudden withdrawal.