Mah-Lee, TotalEnergies reach deal, but…

A petrol delivery truck offloading gasolene at a service station recently.

By Renae Osbourne

Observer staff reporter osbourner@jamaicaobserver.com April 1, 2026 Mah-Lee, TotalEnergies reach deal, but… Jamaica Gasoline Retailers Association (JGRA) is reporting that veteran dealer Howard Mah-Lee has reached an amicable agreement with TotalEnergies Jamaica, but maintains that the dispute over the dealership underscores inequities within the petroleum retail industry.

According to JGRA President Philip Chong, discussions were held between the parties following intervention from Minister of Energy Daryl Vaz. While the details of the agreement have not been disclosed, the JGRA president said Mah-Lee has indicated that he is satisfied with the outcome. Up to press time, confirmation of the agreement between the parties had not been received from the petroleum company.

“The minister gave directives and he sought to create a balance between the marketing company and the JGRA, but they proceeded with their action and at the end of the day there was some kind of discussion with Mr Mah-Lee and Total. I do not have the results of that but Mr Mah-Lee said it was amicable. So I have to listen to my member, and if my member says he’s satisfied, then he’s satisfied.

I would consider that we have done our job in that relationship,” Chong said.

“But our job is far from over because at the root of all of these issues are the unconscionable contracts,” the president insisted. The association, which intervened at Mah-Lee’s request, said it was initially taken aback by Total’s decision not to renew his contract after 43 years of operating the Seashore Harbour View Service Station. Chong maintained that Mah-Lee had a strong record throughout his tenure, operating within the association’s code of ethics and serving both customers and the company without any known breaches.

At the heart of the dispute was what Chong described as a “prejudicial” pricing structure, with two adjoining service stations supplied by the same company reportedly given fuel at significantly different prices, leaving Mah-Lee at a competitive disadvantage against a neighbouring operator.

“So the plight of Mr Mah-Lee was simple; he is being outpriced by the station behind him. Now, Total supplies petrol to both sides but at different prices and when I say different prices, [I mean] at a vast difference in price. So as an association we have pointed out, within the ambit of the lawmakers, that we find that this is an unreasonable and unfair practice within the industry.

We cannot come to a logical conclusion why they would have the preference to give that station a better price than the other station and in such a vast difference,” said Chong. The situation was further compounded by the company’s decision to consolidate both locations under a single dealer, coupled with a 30-day notice for Mah-Lee to vacate the premises by March 20, 2026, without compensation, a move the JGRA president labelled as “unconscionable”, particularly given the potential impact on long-serving staff. Chong also highlighted a similar case involving another dealer whose contract was recently terminated, reinforcing his position that Mah-Lee’s matter is not isolated.

“I would say from when the transition took place from the old multinationals [companies like] Shell and Texaco, down to the new multinational, like Total, etc, the contracts, which they call ‘licence’, are very one-sided and they have given the marketing companies control over the retail sector. Not just the wholesale sector, now they are controlling the retail sector and they claim it is because of competition. So a lot of dealers now are losing money, they’re losing business and they don’t think that they’re being treated fairly by the marketing companies,” the JGRA president said.

Despite the resolution, Chong stressed that the matter reflects deeper structural issues affecting dealers across the industry. He further contends that inconsistent pricing practices and contract terms are placing dealers under increasing financial pressure, with some struggling to remain viable.