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Bolivia’s fuel shortages and ‘junk gasoline’ drive a surge in electric cars

Bolivia’s fuel shortages and ‘junk gasoline’ drive a surge in electric cars

Summary

Bolivia is facing fuel shortages and rising gasoline prices after the government ended fuel subsidies, doubling the cost of fuel. As a result, more people like Simón Huanca are switching to electric cars to save money and avoid the low quality, or "junk," gasoline affecting vehicles.

Key Facts

  • Bolivia imports most of its diesel (80%) and gasoline (55%).
  • Fuel subsidies were ended in December by President Rodrigo Paz, causing fuel prices to nearly double.
  • Long lines and gasoline shortages have become common in Bolivia.
  • Some gasoline was found to be contaminated with gum and manganese, damaging vehicles.
  • People are increasingly buying electric vehicles to avoid expensive and poor-quality gasoline.
  • Public charging stations for electric cars in big cities like El Alto and La Paz are very limited.
  • Simón Huanca, an Indigenous artisan, imported a Chinese electric car and installed a home charger.
  • The fuel subsidy had cost Bolivia over $2 billion per year and drained foreign currency reserves.
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