ARCH Opens Sanction Proceedings Against 18 Fuel Marketers Over 448 Station Stock Reports

Ecuador's fuel-supply dispute has moved from scarcity management to regulatory enforcement.

Sanction Proceedings

Primicias reports that the Agencia de Regulacion y Control de Hidrocarburos (ARCH) initiated sanction proceedings against 18 fuel marketers in Ecuador on May 18, 2026.

The action follows recent shortages of extra gasoline and diesel in Quito and other cities. According to ARCH, the proceedings respond to the failure to report stock levels at 448 gas stations between May 9 and May 12, breaching the obligation to register daily product availability.

ARCH said the omission complicates dispatch management and the continuity of fuel-commercialization service at national scale. Primicias reports that the companies could face economic fines and suspension of activities.

Distributor Response

Ivo Rosero, president of the Camara de Distribuidores de Derivados de Petroleo, rejected the regulator's framing, telling Teleamazonas that distributors were exposed to a "witch hunt."

Rosero argued that the shortage of extra gasoline and diesel in Quito and other cities was caused by government import-logistics problems and that authorities now intend to sanction marketers for not recognizing an internal failure.

Regulatory Rationale

ARCH said stock information is a tool that allows the regulator to verify available product quantities needed to meet citizen demand. It added that noncompliance obstructs timely dispatch management and the continuity of public fuel-commercialization service.

What to watch

• Whether the proceedings result in fines, temporary suspensions or negotiated compliance plans.
• Any publication of the 18 companies named in the sanction actions.
• Station-level stock reporting during the next monthly fuel-price and import cycle.
• Distributor chamber response if ARCH moves from proceedings to penalties.

Source: Primicias