The Petroleum Transporters Association of Zambia (PTAZ) has backed the recent hike in fuel pump prices necessitated by the removal of subsidies on the commodity by the Government.
PTAZ is an association with a membership of 96 transporters owning over 800 fuel tankers that distribute fuel throughout the country and transporting fuel from the ports into Zambia.
PTAZ Secretary General Benson Tembo has branded the increase in fuel prices as long overdue.
The Energy Regulation Board (ERB) last week announced an upward adjustment of pump prices of petroleum products between 3 Kwacha 54 Ngwee and 4 Kwacha 47 Ngwee following the removal of subsidies on the commodity.
Speaking in Ndola, Mr. Tembo said the old fuel pump prices in Zambia were artificial and were only sustained for political reasons by the previous Patriotic Front Government.
“This bald decision made by the Government is long overdue. It has been eating on the progression of this country. We are in the fuel transport subsector and we have been involved in the movement of the product throughout the country and the movement of the product from the ports into the country,” Mr. Tembo said.
“We are aware of the activities that have been happening prior to this fuel price adjustment; I want to say that the price adjustment you have seen today would have happened in November, 2020. The oil marketing companies were demanding price adjustments at that time because of the landing costs.”
“As you are aware Indeni has not been operational since last January and all petroleum products in this country have been imported as finished products. And local oil marketing companies (OMC) were given import waivers to bring in these products so along the supply chain the landing costs went up and the OMC demanded that the Government increase the pump price but during that time the Government was hesitant to increase because of politics,” he said.
Mr. Tembo added:”Instead in January and February, the Government decided to suspend the VAT, excise duty and all other fees in the price buildup just to maintain the price up to August elections. Unfortunately that Government was booted out and we have a new Government, so today when there is this price adjustment what we are saying as critical players in this sector is that this was a very bold decision that will bring back the country on track, a decision that will bring back the country on economic revival.”
“If you look around, we have been transporting fuel from Beira (Mozambique), we pass through Zimbabwe. The product in Zimbabwe is expensive. We have been transporting fuel from Tanzania; we pass through Tanzania the product in Tanzania is expensive. The question has been why is the Zambian product cheaper? It is politics, politics and politics. Now that politics are over we expect the members of the public to rally behind the Government so that we can go to the other side where we will see progression.
Fuel price increment announced by ERB has sparked bus-fares hike confirmed by the Road Transport and Safety Agency (RTSA) on Monday.
The truth has been told, zambians they make noise without knowing the ecomomic politics. thats they alot of fuel smuggling into neighbouring countries. So the people who benefited on fuel subsidy where neighbours not zambians.
All you negative people and all you politicians READ FROM THE HORSES MOUTH this should have been done in 2020. INDENI ???? THEY HAVE NOT BEEN IN EXISTATNCE FOR A LONG TIME so why are leaders disputing and lying on the same?
NO MORE POLITICS PLEASE FOR THE SAKE OF BECOMING A LEADER – THINK OF ZAMBIA FOR A CHANGE. All you Emmnuel Mwamba’s and the likes just crawl under your bed.
WELL WRITTEN, SIMPLE TO UNDERSTAND
Chipuba ichi…so you knew all along politics was their even now politics are their yet you came mute and only to know what to say today?? These are the stupid business people who only speaks when issues serve their interests only.
Funny thing is that those in government today told us that fuel in ZAMBIA was too expensive. Now why didn’t this Mr Tembo tell us that the Upnd was lying? Logically it’s difficult to believe anything coming out of people’s mouths. Next it will be MEALIE MEAL WAS CHEAP BECAUSE OF POLITICS. Besides if it was subsidized why would Mr Tembo be worried because it was goverment paying for the difference.
Look who’s talking of course these morons want fuel to be expensive so that they can eat….why would they want cheap fuel….and why was Chimbwi no plan President telling people that he will reduce the price of fuel….so HH didn’t know what he was saying…he was just using Politics….lying to the Zambian people just to get into office and now reality has dawned on him….blah blah blah promising to do the impossible….and it’s called “lying”….simple…..HH is a pathetic liar…he even lied to the voters in Mkushi that he owns an aeroplane…..which aeroplane does he own…..he should be ashamed of himself
When criminal take over a country the word “politics” is used instead of theft. I thought the idea of government is to politically run an effective institution on behalf of their masters the voters? Now that the thieves have educated themselves on how things work, it will be almost impossible to remove the criminal elements in the various government sectors. We need to introduce tough measures and stiffer penalties when it comes to government officials getting themselves into dubious deals. We need an overhaul of all government and civil service.
@ 1 and 2
You missing the point…Zambians don’t want to be fooled anymore…now Zambians want Politicians to tell them the truth when campaigning not just hallucinating just for the sake of getting into State House no wonder HH has been deemed as a failure…because non of his promises are realistic…..things will get even worse and his people in UPND have already started looting am sure they’ve sensed one term leadership….so they want to enrich themselves in the next 5 years because definitely HH is a one term President…no doubt about that
Government is a serious in petroleum products business. Govt imports and sells petroleum products and adds a mark up but it also collects taxes on the same products. Therefore I don’t see anything for Govt to drop taxes because it’ll still make money. This decision is good because it benefits all of us. We don’t how Situmbeko is going to spend the savings he’ll make through the re-introduction of taxes. How do people that are only hired to transport goods be an authority on petroleum products? Sometimes it’s better to be quiet on some matters. We have been on this route before, can someone point to any tangible benefit that was realized after removal of subsidies? FISP, which is a form of subsidy has brought us bumper harvests
Government is a serious player in the petroleum products business
We are in the 21st Century with 18th Century tactics. Removal of subsidies has been announced before. Expensive fuel has been hollered before. Records are there. So what we see now is a sine curve of stories to justified something that politicians are simply too scared to disclose in plain language. Enough said.
You can’t just compare a commodity price in 2 different countries and expect it to have same price without understanding factors contributing to its pricing. In Tanzania for example we dont pay annual road license it is included as a levey in fuel pump price where as in Zambia you pay that separately and still have tollgates. Removal of subsidies may be long overdue but the people analysing this are not doing it any justice.
#9 I like you… surely people are not explaining in truth.
Ine napapa, celebrating commodity increment?
A seller of a product will always support an increase in its price. Even me who has an interest in oil companies around the country will tell you that let them continue increasing the price. Only failures continue blaming previous government for failures happening during their tenure
Thats good politics then!
In response to your costs GRZ suspended VAT and exercise duty, GRZ lost but you continued to make your money, very simple really!
The current president lied and must own up to his lies. At least President Sata did put money in people’s pockets by increasing PAYE threshold ensuring that low income workers paid the lowest PAYE. We cant say the same for our current leader, his calculation of how to reduce the fuel price is in public domain and the least he can do is stop finger pointing and own up to the misinformation he was basing his promises on.
Good Governments always has a human heart. The fact that you don’t rig fossil fuels means that Citizens can’t always buy it that expensively.
Whether your truth sounds more truthful than his, when economic realities set it, I can bet it on your **s that subsidies will bounce back some day. Reality would have served its purpose.