"In Kyrgyzstan, the Ministry of Internal Affairs (MVD) allows private insurance companies to cash in on carriers of petroleum products," the head of the Oil Traders Association Zhumakadyr Akeneev told a news conference today.

He said that on August 15, 2011 the head of MVD Zarylbek Rysaliev signed an order obliging owners of petrol tankers to take out KGS 120 thousand insurance on the lorry. If not obtaining insurance the State Traffic Police won't issue strict running schedules. "Around 90 percent of POL is delivered to the north then part of them - to the south. This order will cause fuel deficit in the southern provinces of Kyrgyzstan as many owners of petrol tankers refuse to pay such big money for insurance," said Zhumakadyr Akeneev.

According to his calculations, private insurance companies may gain around $1 million. Zhumakadyr Akeneev noted the MVD's order is illegal and the Oil Traders Association will challenge it within legal frameworks. If imposing obligatory insurance for petrol tankers then let budget gain incomes, he thinks.

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KYRGYZSTAN: In Kyrgyzstan, the Ministry of Internal Affairs allows private insurance companies to cash in on carriers of petroleum products - Zhumakadyr Akeneev