President Mwanawasa says Zambians should brace for high fuel prices as the adjustment of global fuel prices is beyond Zambia’s control.
Dr. Mwanawasa says the other evil to mitigating fuel prices is for taxation to go up which would weigh heavily on the citizenry.
He was speaking at Lusaka International Airport before departure for Egypt to attend the 11th Ordinary African Union (AU) Heads of State and Government summit, which opens on Monday.
President Mwanawasa also said in the face of rising global food prices government would endeavor to prioritize agriculture as it is an engine for economic rejuvenation.
He said increased food production would lead to reduced costly food imports.
On Zimbabwe, President Mwanawasa hoped the continental grouping would come up with a common position.
Dr. Mwanawasa however said he did not want to comment further on the matter as he risked re-emptying what leaders at the AU summit would say.
The Egypt summit would discuss among other things the rising global food prices, which were affecting people on the continent.
The summit would also discuss water and sanitation, progress on the Millennium Development Goals (MDGs), and economic integration of the continent, among other topics.
The 11th AU summit whose theme is “ Meeting the MDGs on Water and Sanitation’ would take place from June 30 to July 1.
ENDS/AM/ZANIS
Rubbish! Petrol can be cheaper. It can be half the price it is today. All you need to do is reduce the exorbitant duties and taxes. For those who are not aware of the grand theft by the new deal government : Excise duty on Crude Oil is 30%, excise tax on Petrol is 60%, Diesel 30% and Kerosene 15%. To add insult to injury there is VAT of 17.5%. Dear Zambians 50 Ngwee of every K1 you spend on gas goes to govt. They are stealing your money. Zambia has the highest oil prices in Africa. It is vulgar!
#1 I dont get your reasoning. The high petrol price saga is a global issue, its not just in Zambia alone. Ok so tax on petrol is high, but you cant rule out the inevitability of a hike in petrol price. Lets reason here, you cant buy high and sell low unless you’re able to cater for the deficit. Im not very sure about your half-priced fuel theory, but so far it doesnt seem viable. Review your statement..
Why is it that zambia has the highest prices in Africa of every thing ?
Cell talk time, fuel, land, air fares.
As for air fairs it is cheaper to fly to j’berg or any other near country then find your way to zambia then direct.
For food you are paying prices that are marginally lower then those in the UK.
I dont agree with #1 and 3.Certainly Zambia is not the most expensive country in Africa.Land costs not less than 20 times more in Nigeria than in Zambia.Talk time yes is high but not the highest in Africa.By Zambian standards yes some items are high in prices due to the fact that some companies quote you in dolars before converting back to kwacha yet we dont do the same for salaries.Lawyers always do this.Fuel is simply an outcry gobally.Its not a unique case for Zambia.Air fares what do you expect when you dont have a nationa airline? But you cant blame this on the present government though some cabinet ministers were part of it
# 4. Gibby, if you look at the population density of land, the price ratio to population density my friend in zambia is much higher then Nigerias.
Can you tell me were there is more expensive talk time than in zambia ?
Fuel is an outcry globally but Zambia still gets discounted iranian crude oil, so why should it be almost the same per litter as in the UK ? or if other countries in africa are also feeling the fuel pinch, how come they have comparably lower fuel prices then Zambia ?
As for air fairs being expensive because we have no national airline, that is not true. Even with the day of Zambia airways, zambia was one of the most expensive destinations to fly to.
People, you’re SOL. That’s the goverment policy. ‘Zambians should brace for high fuel prices’. ‘It’s beyond our control’.
I say use this opportunity to take Zambia off fossile fuels. Convert diesel engines to biodiesel. Build only government buildings that use renewable energy, like solar and solar-thermal energy.
Why does this government have to be prompted to do anything?
this issue of fuel is too complicated.1=authorities(GRZ)should further consider reduction in taxes on fuel if the much talked about economic achievements are to be sustained.in as much as the government needs money fo its operations,it is still feasible to do away with taxes on fuel to help sort out the price saga.2=consider heavy investiment in oil refinery plant to be situated in either N/WESTERN or Western provinces with a view to start importing oil from Angola,and ultimate results of reducing on cost of fuel.plz think over these issues besides who knows oil in chavuma might be of economic quantities,we keep our fingers crossed,gogo zed.
More like brace yourselves for price hikes.
Off topic people.
Please help. What has happened to live radio streams on Coppernet? What has one got to do listen live now?
This is just the truth about prices workdwide. Fuel in South Africa when I was there last in March was 8.90 a liter, now the price has reached 14 rand I think which converted losely is about ZMK7,000. So we agree with HE when he says we should brace for hard times. The only thing is that HE LPM did not state categorically how the Government hopes to prop up Agriculture with high fuel prices and high fertliser prices, maybe the devil as they say is in the details. Personally I would prefer the Government looks at the tax structure for fuel and come up with a mitigation measure, or look to Angola, get a ship down to Walvis Bay and have the ship offload there, it is nearer than Dar…
#2 and 4. You seriously do not understand the economics of energy. Tell me how the 60% excise tax on petrol in Zambia does not add to the high cost of petrol in Zambia. 60% of the price of a litre of petrol in Zambian has nothing to do with so called
‘global issue’as #2 claims. It is simply that your govt is greedy. If Levy were to cut or reduce this tax petrol will be cheaper. For example a gallon of petrol in the USA costs $4 while in Zambia it costs $9. The difference is in the Tax structure. In the US duty on both Crude and Petrol is 5% each. In Zambia it is 30% and 60% respectively. Gibby call me and I will reeducate you.
60% of the cost of your litre of petrol at the pump is money that goes to govt it has nothing to do with the cost of oil on the international market. It is tax by government to raise money. 15% of the indirect taxes in Zambia are sourced from oil. Actually oil contributes more to your treasury than any other industry. Your govt behaves like an oil producer. Oil is seen as milk cow! Zambia has always been an upsidedown country. Pathetic!
once again – brainless politicans. No wonder we will never mount to anything
The only was we are going to have cheap fuel in Zambia is by growing more crops and producing bio-fuels. Oil is going to run out sooner or later.
# 11 & 12 . Mbulawa
Is right. GRZ acts like it is an oil producing country.
The reason we will never obtain sustainable development is because these monies obatained from the high taxes on the likes of fuel are used on an inflated GRZ budget., Buying 4/4’s for all chiefs instead of things like tractors. GRZ perks for ministers and MPs are unbelivable.
Until GRZ learns to sacrifice for the sake of sustainable development we are going nowhere.
We undrestand high fuel prices and food are global issues and they will ever be. When are ordinary Zambians going to enjoy the fruits of sacrifices. We have had had Wage freezes and a continuation of high taxes. People were told that things would imrove after the Reaching the HIPC POINT but nothing. The truth is priorities are not in place and we are alwys playing on figures and hope to deceive poor Zambians. Politcians have continued eating and gaining at the expense of poor zambians who are always given stories. The dollar and Kwacha rates are manipulated at the expense of providing food and relief to zambians. Provide tax relef and and services in rality and not fake figures.
Every well meaning Zambians should be tired of mouths which have contnued vomiting problems and warnings without solutions to help the people. Abash politics of promises and greedy leaders without capacities. “Twachula pafula”.
Zedians, I have been following your debate and are interesting. Most of the folks are saying Zambia has the highest fuel prices, taxes etc in Africa. Have you lived in other countries other than Zambia. I live in the western world and has lived in another african country apart from my motherland and taxes are high everywhere. What is important is the revenue from the taxes should be used for the well being of the ordinary Zambian.
#18. you do not need to live in a country to know what level of tax(es) it has. It is an open secret that countries like the Bahamas, Switzerland, the principality of Monaco, Lichiestein etc are tax havens. I live in the UK and I know that this country has one of the highest levels of taxes on fuel at 70% of the cost. I do not live in Germany but I know that their level of taxation on energy products is 45%. Neither do I live in the USA but I know they have one of the lowest tax in the world on petrol which is pegged at 5%. Zambia it is 60%. If you were a scholarly type my Dear Timbalife you would have known about this. Some of us have grounds on which we base our arguments.
To all ZAmbian bloggers..will you be filling your tank when the prices go up..or will you start cycling and walking???..in Zambia we always complain but never seem to do anything about it!!!
Way don’t you all protest against the Goverment, like we do here in UK.
Don’t waste your time protesting, just convert your car to run on what! If you can’t do it, let me know and I’ll do it for you for a small fee! If you think I’m joking google “run car on water” but don’t go buying any stupid manuals. There’s free stuff and downloads online with plans.
Oh I meant to run on water, i.e. through hydrogen generator of course. Go research it
We need to be strong