By NAMO PHIRI
THE Energy Regulation Board (ERB) has increased fuel prices with Petrol costing K21.16 from K17.62 while diesel has been hiked to K20.59 from K15.59.
The increment in the wholesale and pump prices of fuel products were effected at midnight yesterday.
ERB board chairperson, Reynolds Bowa said the increase in fuel followed an announcement by the government to remove fuel subsidies so as to migrate to cost reflective tariffs.
Mr Bowa said ERB would start reviewing petroleum prices every after 30 days as opposed to 60 days.
“Petrol has been increased to K21.16 from K17.62, Diesel is now K20.15 from K15.59 while the new price for LSG is K22.29 from K17.82, Kerosene will maintain the same price,” Mr Bowa said.
Mr Bowa warned Oil Marketing Companies (OMCs) against hoarding fuel and said this was against licence conditions and doing so would attract a penalty including revocation of the licence.
He said the previous pump prices had been kept artificially constant since December 26, 2019 despite adverse movements in the key fundamentals.
“It is in this regard that subsidies were eventually introduced into energy prices, and this was accompanied by the removal/reduction of taxes in the pump price build-up, this is what has kept the fuel prices at their current levels,” Mr Bowa said.
Meanwhile, a shortage of fuel has hit Lusaka causing panic among motorists.
A number of filing stations have run out of the commodity.
A spot check in the early hours of yesterday in Libala, Kabwata and in the Central Business District found most fuel attendants lazing around because they had no fuel.
Some fuel attendants talked to said they were not sure when they would receive their consignment.
Queues were found at Puma Interland Filling Station on Burma Road as motorists scrambled to get the commodity.
One of the motorists, Ms Judith Banda said the situation was pathetic because it will slow the economic activities of the country.
Ms Banda said the running of the economy is dependent on fuel, therefore this must be addressed immediately.
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