by Rungano Dzikira

The Ministry of Energy and Power Development is working on an operating framework for fuel retailers to curb malpractices in the sector as it moves to protect consumers against the black market.

In a statement the ministry said that adherence to this new framework was mandatory in order to restore confidence for both businesses and consumers.

“Government has developed the Direct Fuel Imports (DFI) Framework as well as Petroleum Licensing Regulations. The two are part of a continuous process of improving functionality and transparency in the fuel sector.

“The publication of the regulations is imminent and compliance is not optional. This will be accompanied by the designation of the approved DFI sites,” read the statement.

In addition, the regulating authority, Zimbabwe Energy Regulatory Authority (ZERA) has warned on cancellation of the operating licence on retailers found wanting.

This development comes in the wake of fuel hoarding, reports on fuel stocking by retailers in the hope of selling the product in foreign currency; prompting ZERA, the parent ministry and the anti-corruption to launch investigations into the sector.

Previously, the Government had moved in to cushion consumers in the fuel sector by monthly price reviews in terms of Statutory Instrument 270 of 2019 (Petroleum Products Pricing) Regulations, Section 4 (2) instead of the weekly pricing reviews in line with international oil prices.