Thursday, March 28, 2024

Fuel prices to go up from midnight as Government removes 5% subsidy

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Mines, Energy and Water Development Minister Yamfwa Mukanga
Mines, Energy and Water Development Minister Yamfwa Mukanga

The PF government has removed the five percent fuel subsidy and increased fuel pump prices.

Energy and Water Development Minister Yamfwa Mukanga said diesel has since increased by 1 kwacha 63 ngwee per liter, Petrol by 1 kwacha 75 ngwee per liter and Kerosene by 1 kwacha 68 ngwee per liter effective mid night tonight.

Mr. Mukanga told a media briefing today that the price of kerosene and diesel will in the short term be equalized in order to prevent adulteration which has the potential to negatively affect the performance of the motor vehicle engines.

Mr. Mukanga said it has become necessary to remove the fuel subsidies in the prices of fuel in order to meet the current costs of delivering and supplying the products.

“In order to reduce the level of increase in fuel prices, the government has decided to remove the five per cent import duty chargeable on crude feedstock. Furthermore, the government has reduced the KR0.24 that was chargeable on petrol for the strategic reserves fund to KR0.15 on all products,” he said.

He said the fuel subsidies which were introduced by the MMD government to benefit the poor only benefited a few of the intended beneficiaries.

“Current evidence suggests that that the poor have benefited the least from this measure. Key consumers of fuel who are the mining industries and urban dwellers that are able to own vehicles have benefited most from this measure,” Mr Mukanga said.

“Given the current economic conditions, the government was committed to improve the welfare of the Zambian worker as well as the most vulnerable and poor in our society,” he said.

He said in addition, taxes on fuel will in future be reflected in absolute and not percentage terms as a way to mitigate increases in the price of fuel.

The Energy Minister explained that the measure will however require changes in the law which will be considered at the next seating of parliament.

87 COMMENTS

  1. 20% increase in Petrol. Effectively the inflation will tumble by 30% in May 2013. way to go PF government. You spoke so highly of yourselves now look what u have!

    • No way. Inflation will fall below 6%. It will follow current economical trend according to Statistical Bureau where increase in prices result in lower inflation. Right Hon. Sampa

    • Sata’s ambition in life was to be President of Zambia which he has achieved through cheating his way to State House.Beyond this,Sata has no other ideas.The recently awarded oil supply contract to Trafigula ( or whatever name ) by Winter Kabimba is the main reason for this high fuel price.This is just the first increase.There will be more of this in few days to come.Wait and see.

    • True that. Subsidies should not have been put in place to begin with because unlike other countries with long standing subsidies on Fuel like Nigeria, Zambia does not produce any oil!!

  2. Fuel price increase`s are always met with a lot of skepticism and opposition.I won`t be surprised if some cheap politicians will try to crucify the government over this.Gas prices increases almost cost Obama a re-election.

    • @zebige,, you lucky, you are not in zed to feel the heat… its ok for you to run go hide in other people`s train in other people`s country and think that you are clever….,,, kupusa monga Guy scott, muzungu opusa!!!!

    • Mwaiche Ndobo i like how you hate PF with a passion.You deserve a government portfolio in Hagaboba oh sorry Hikaides government if at all by the grace of nshima he will ever rule.All the best.

    • @ka zebige kopusa!!!…am a free mind, free spirit. am not kwalolo mwela.. you have missed your target.. am not a mapatizya wild dog or disciple of HH.. donot be mistaken am also not a fwaka stone throwing PF baboon.,,, am considering going for a retreat with Fr bwalya..

      @matero girl.. anytime inbox.. i can come to tyskland and dinner with you baby!!mwa!!

  3. Donchi kubeba!!!! now am starting to understand why Fr bwalya has walked away… this smells corruption!!!! red lips kabimba knows better… that fuel deal!!!!

  4. Oh my word the logic expressed by this minister has given me a headache and is making me feel very nauseous. Iye please mwebantu takwaba such nonsense.

    • you are so right..
      am too embarassed and very, very afraid.
      why.. my caring govt., why?
      what has hapenned to our peoples govt.?
      i smelled a rat immediately our FM delicated all his duties to miles sampa that something uncanny is on but just couldn’t figure which.
      we will see…

  5. Yahhhh….anyway,its one of those things but it shouldnt be a habit just to increase things.In Zambia we like increasing anyhow.

  6. Where is the village clown who used to throw tantrums when the MMD was in power? Sometimes the buffoon would go to a petrol station with a small container just to make a clownish point. And please since when has fuel ever been subsidized in Zambia. The truth of the matter is Zambia has the highest fuel prices in East and Southern Africa . So this nonsense of subsidies is a pure lie from the clueless and incompetent PF. Please just admit that you want to raise money for your relatives and tribesmen you have overemployed.

  7. More money in(out of) your pocket! What a wasted vote I made. Problem is three years seems so far from now and even then they might bounce back due to the vote rigging and all, Yaba, this is depressing.

  8. Some body has got to pay for the by-elections and the fuel money being given to defecting MP’s, money used for ferrying the Head of State, his vice (by air) and the countless PF MP’s during the same by-elections. They all cost money and tax payers money for that matter….
    The poor will also be the ones hit hardest when the prices of transport and other commodities go up, as a result of this action.

    • This is normal.Government subsidies have a limit too.They just can`t continue doing the old old thing.Seleni tubombeko.

  9. This is normal.Government subsidies have a limit too.They just can`t continue doing the old old thing.Seleni tubombeko

  10. Again, another 180 degree turn on promises made. This confrontational stance on the most productive sectors of the economy is very worrying. Already production costs have skyrocketed as a result of abrupt minimum wage increment, Zesco inefficiency and now this. Meanwhile they make no effort to cut costs on their part, just look at the large cabinet and many other cases to numerous to mention. Advice…don’t kill the goose that lays the golden egg.

  11. The explanation does not make any sence to me….. This is total B.S prices keep going up but neva decrease.smh…… Donchi Kubeba my butt

  12. This is a clear sho of lack of direction or rather clarity in terms of what Government wants to do , what direction to take the nation at all. This is criminal after misuing alot of money through these totally uncalled bye-elections. But the PF are lack that we as a people are not serious people who allow midicrity and stupidity in Governance , only come to speak after five years . If you look at how dirty our streets are the who;e country due to unneccesary street vendors in all towns , Bomas and City as never before . This is negative development if ever there is a such a word . Its time for Mr Sata to wakeup , as what is happening with Banda will catch with him soon . I hope its the lastb time we are voting for people say or talk about what they donot know or understand as seen by deeds

    • What is Donot or what ever that is , its nothing , but a song which the PF copied without any clarity , that is really dangerous if Government shall continue moving ignorantly . This is not realistic , the reasons given by the minister donot make any economic sense at all . I would the MMD even did a good thing to have to reduce the cost , as 5% will go no where at . I cannot believe that GRZ would be so ignorant not to understand that increasing fue donot only affect one with a car , doing business and affects all aspects of life .Soon the buses shall do the same then the poor shall be more poorer. also that 5% is just too much to increase when this money shall just be missed through stupid bye -elections and all other activities

  13. Iwe Ba mbuli this will directly increase the cost of living, fuel prices add to transport cost which in turn add to cost of doing business, I don’t see ur logic wen u say only a few key individuals benefited, overall mmd policy was good for the economy, transport costs are limiting factors in many businesses, if u ask me u should reduce or downsize some of the workforce in your own ministries than increase fuel in order to pay salaries, zambia is a scary place to do business looking at some of the policies u implement. It’s amazing how unza can lease land for 99 yrs n yet there’s a serious accommodation shortage Zambian logic awe kwena some these costs u agree to will come back n haunt ur grandchildren because u didn’t forsee

  14. bad news for me. Just planing to get my first car. PF what happen’d to more money in our pockets. From what i just read more money will be going out of our pockets.

  15. just awarning to the PF, them we are going to put imprison the family forests from both sides wait and see

  16. my Indian brothers were just proposing the motor cycles and the three wheelers here soon and this is the way to go

  17. This is not first nor the last time we are having an increase in fuel prices.High time we all got used to it.Change is not always easy.

    • Masala market, why have you realised now that change is difficult. You campaigned that within 90 days every thing will change for better. Now here we are since when did fuel go up by 20%. In developed countries a party that comes to power through false promises and fails to deliver always steps down to allow others to rule. It seems this government is a record breaker in reverse. high mealie meal prices, record breaker, high fuel prices, record breaker, bye – elections record breaker, unfufilled promises, record breaker, the list is endless. Why dont you admit that you have failed to rule

    • This is criminal. Crude oil prices have dropped drastically on the international market as a result petrol prices have been reduced in countries such as South Africa , Kenya and the USA. Surprisingly In Zambia they are been increased. You’ve been told so many times that the by-elections you’re deliberately causing cost money. The bureaucracy you’re bloating costs money. But you never listen. Now after realizing that you’re spending more money than you budget for , you’ve resorted to exploiting Zambians by claiming to remove a subsidy that never existed. You’re criminals pure and simply.

  18. Where is Wynter he headed the commission of inquiry into the procurement and supply of our fuel or I forgot he just wanted a kick back out all of it.
    Removing the subsidy was one of Sata’s populous idea; should never had been implemented and it has back-fired.

  19. Pf bob sichinga what has happened to buying cheap fuel from angola which you parroted about when in opposition? Easier said than done.

    Any increase in fuel will adversely affect the poor coz the cost of doing business will go up but pf so called can’t see this how stuPid one can be.

  20. jumping from the hot pan to the fire i thought voting PF will easy things but things are getting worse help us God zambia is on fire

  21. the minister says: “Current evidence suggests that that the poor have benefited the least from this measure”. but mr minister sir, dont you know that even the poor who dont has vehicles still benefit when fuel price is low..with increased fuel price it will mean increase in bus fares which will affect the poor, prices of foodstuffs will also increase due to extra cost in transporting them…

  22. PF explain to us where the money for the subsidy will be channeled to? Where are you taking the 5% to ? Please dont start stealing our money in the way MMD did. Remember 2016 is just around the corner. If you mismanage our economy you will be kicked out .

    Peace and prosperity to mother Zambia.

  23. If the minimum wage goes up, electricity goes up and fuel goes up in one year.
    Cost of production will go up. Cost of food, shelter and clothing will follow suit.
    Maawe….

  24. Welcome to the real World PF. The biggest Government in Africa and perhaps the world. The biggest diplomatic service workforce, the most inefficient civil service. You increase the latter’s salaries only to cause holes in their pockets. Ati fuel subsidies only benefited a few! What a dumb explanation obese Bemba boy. You must imagine we are all as ignorant as your cadres. Now mealie meal prices will go up and PF will go down! You think ordinary voters understand and appreciate those economic semantics and filp flops. To them an increase is an increase. Period! You thought running a Government would be as easy as paddling some primitive canoe in an ancient Bemba mud stream. Oh how marvelous Bemba Government. Indeed welcome to the real world and welcome 2016. Weelu!

  25. that is it. concentrate on building shelters instead of buying cars in rented homes. You will be hit twice. Change is not easy/soft but bites.

  26. We were told that zambia has the highest fuel prices in the SADC region by PF prior 2 elections.But little did we know that it was just a bunch of lies 2 give them power.we can’t take it anymo we have an ace up our sleeve 2 play come 2016.I rest my case.

  27. You blind PF supporters , you as ingorant as your leaders who cann see what damage they putting on the entire ecomony , baina noina .

    Nigeria’s fuel is only Naira95 , when the USD = 160 naira , which is just about 0.60USD or Kr250 , this is criminal because of the unneccesary bye elections , Chiluba was here he was a better criminal

  28. Surely President Sata know the right thing to do, knowing that he has a very rich expereince in such issues, but one can tell that he has chosen to go this way purely out of his own ambitions. its way to early to show bad signs of leadership becuase even your own children are begining to doult your way of leadership. Please Pre Sata evaluate your self before we present before you your fears. Remember no President is permanent and Zambian will always be there for the final say. Wake up Big man before its too late. we brought MMD to their knees. Viva Mother Zambia!!!!!

  29. what change , without direction, how many has GRZ reversed its positions ie; Ministries we have the biggest Cabinet ever

  30. 2016 is too far for the PF , they need a vote of no confidence now before they take our country to 1994

  31. let this be taken as a serious warning , this shows true lack of Vision as one would Chimbwi no plan this is .

  32. PF govt is full of lies and deceit. We were expecting a further reduction in fuel prices after PF assumed office as they promised to remove all middlemen in the fuel procurement deals. Alas little did we know that it was lies as usual. I am happy I did not vote for this deceitful regime!!!

  33. It is inappropriate and ghastly to remove subsidies to give pf cadres to buy votes at by elections it’s only in this poorly run country where cadres carry huge sums money kr100,000 to buy votes! Pf gets all such money frm such companies like zesco. Pf as a front has no money. It’s a fallacy to have voted in pf!

  34. No wonder his real name if Yamfwa! I mean, how can someone leaving such a comfortable like look so’dusty?”. Mutu wateni ki pululu mange inge wa kankuni. These Zaireans, they are apes sure.

    • I think the camera is to blame, yanmfwa is not from Zaire incase you need to know, he is truly Zambian, stop umwenso kuli ba mwisa.

  35. This fuel, in some countries they have reduced the price per liter, because they say the source of crude oil they have also reduced the price, but pa zed ati, ni increase.

  36. Nimwisa unao, balyanamo nena Tanzania , why are you defending him , nibululubobe landabwino , takwaba umwina Sambia umoneka filyaeyoo awe mwina Congo, namweba umwaiche wandi Kabila ati mbutushi ili mu sambia

  37. Ni bachimbwi no plan, nena bachita ifyalongo , abnabo babwesha imitengo , them are doing the opposite , bachimbwi aba

  38. This guy really looks Kasainese, buseta bwahae mane neba kankuni ki tobone wakuta!

    • Hey mwisho, this guy is from the mwata kazembe chiefdom in case you want to know more, ask abena chinyanta……..

  39. in 1964, just see how the Minister of Finance its 1964 used up material and many more that i cannot mention, bank criminals also as ministers that i cannot metion

  40. the PF does not understand that there in Government its time to work and not campaining and causing unnnecaessary bye elections which too taking way theirb time to do serious business. I have also just seen Sata has no relevant experience and capacity to run a small Government like Zambia . its like being a Governor of state in Nigeria , how do you have problems with such a small assignment . How do you allow people like GMB say i sponsored you, thats what Mwanawasa could not allow at all. How do you people like Kabimba be masters to do how from where and what for

  41. it is more money in the pockets. this is what people wanted. i look forward to 2016. We need a government of great people will restore the dignity we have lost. NAREP is the way to go.

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