Written by on March 5, 2019

MUCH as the reduction of fuel prices is welcomed, there is need for Energy Regulation Board (ERB) to consider reducing petroleum products further to trigger impact on consumers, says the Public and Private Drivers Association of Zambia (PPDAZ).

In an interview, PPDAZ national trustee Patrick Daka who welcomed the reduction of fuel pump price appealed to ERB to consider reducing it further to trigger impact on the consumers.

Mr Daka said despite the reduction in fuel pump price, bus fares were not expected to be reduced hence the need to reduce it further to trigger impact on the consumers.

“There is need for ERB to consider reducing fuel pump prices further. For example, they only reduced 86 ngwee on petrol and as an association we are not reducing bus fares because the reduction is too minimal. So the consumers will not benefit from this reduction,” Mr Daka said.

Last week, ERB board chairman, Raymond Mpundu announced the fuel reduction for both retail and wholesale stressing that the price reduction had been influenced by movements in international oil prices as well as the exchange rate of the kwacha against the US dollars and recent amendments to the Customs and Excise Act.

Mr Mphundu announced the new prices as K15.20 for petrol from K16.06, K13.43 for diesel from k14.65 and k15.72 for low sulphur gas from 16.94, while the price of per litre of Kerosene has remained unchanged at K11.34.

He explained that after the price adjustment in October 2018, international oil prices significantly dropped from an average of $82.30 in October to $59.50 in December per barrel, and that during the same period, the Kwacha steadily depreciated and stabilized to a monthly average rate of K12 in the fourth quarter of 2018.

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