Fuel prices increase but…

Business Top Stories Zimbabwe

ZTN Reporter

FUEL prices in Zimbabwe are on the move again but there seems to be little improvement in its availability amid accusations that some retailers are the diverting the product to the informal market.

The fuel companies are also accused of hoarding the product as they push for higher margins.

Yesterday the Zimbabwe Energy and Regulation Authority announced that diesel will now be selling at ZWL $18.66 a litre while the same quantity of petrol will now be going for ZWL $18.70.

Previously diesel sold at ZWL 17.28 a litre while the price of petrol was pegged at ZWL $18.70.

“In accordance with provision SI270 of 2019 the Zimbabwe Energy Regulatory Authority has reviewed the fuel prices to ZWL$18.66 and ZWL $18.70 for blend with effect from 5 March 2020.

“The SI 270/19 requires that fuel prices be determined using the previous month’s international market prices and announcement done with effect from (the) 5th of every month,” said ZERA in a statement.

The price review comes at a time when Zimbabwe Anti-Corruption Commission (ZACC) is set to investigate reports of fuel hoarding by oil companies.

The fuel companies allegedly received 20 million litres of diesel and almost 9 million litres of petrol, over the past week, but reportedly withheld much of the fuel in the hope of forcing authorities to increase their permitted mark-ups.

Zacc chairperson Justice Loice Matanda-Moyo confirmed to The Herald receiving reports of hoarding by oil companies and said: “Zacc is launching investigations into the matter.”

As news of the new fuel prices and looming investigation filter through desperate motorists have queued up at service stations across the country hoping for an improvement in supply.

“If its indeed true that the retailers have been hoarding the product then today is the day that they will start selling…I will wait up until midday and if nothing will have materialised by then I will be forced to go to where they are selling in foreign currency,” said one motorist in Harare.