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R (Mabanaft Limited) v Secretary of State for Trade and Industry
on 30 August 2011
Oil and Petroleum Supplies
The Court of Appeal (Civil Division) handed down judgment in the case of Mabanaft Ltd, R (on the application of) v Secretary of State for Energy and Climate Change [2009] EWCA Civ 224. The case concerned obligations on member states to guard against the risk of a disruption in supply of national stocks of crude oil and petroleum products. The Community law requirements are contained in Council Directive 2006/67/EC whereby refiners are required to hold 67.5 days' supply and importers 58 days'.
Mabanaft Ltd, a substantial importer of crude oil and petroleum products claimed that the Secretary of State's decision did not allocate the cost burden of the new regime in accordance with the 2006 directive. It started judicial review proceedings, which were dismissed and Mabanaft appealed. It was held that there are fundamental differences between the business of refiners and importers. Accordingly, the appeal was dismissed.
