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Zesa’s failure to expand the national grid, load shedding and the resulting need for users to be more energy self-sufficient have influenced a growing number of households, businesses and institutions into using liquefied petroleum gas (LPG) for cooking.

Recognising this rise in demand, investment in filling stations, gas tanks and accessories has been on the up in recent years. Some users are now exclusively relying on LPG for all their cooking even at times when the lights are on. They have gotten used to it and have also done the sums to conclude that doing so represents a saving given the high Zesa tariffs.

The Government has commended the growth in this area and noted the factors underpinning it.
In the 2025 national budget, authorities removed the 13 percent value added tax (VAT) on LPG sales. The motivation was to make the fuel more affordable and widen options for users.

While we celebrated the good intentions behind the VAT removal, retailers, even wholesalers perhaps, have not effected a concomitant reduction in LPG prices. It is business as usual since the tax was removed 31 days ago.

“The intention was to lower the prices of LPG gas by the extent of the VAT that was being charged previously,” said Finance, Economic Development and Investment Promotion Minister, Prof Mthuli Ncube.

“However, the Government has noted with concern that some of the LPG operators have not reduced their prices, thus profiteering from the VAT relief, which was aimed at citizens.

Mthuli Ncube

This is unethical. I, therefore, urge LPG operators to reduce their prices by the extent of the VAT relief as intended. This will go a long way in giving relief to our consumers and citizens and is also consistent with the Government’s efforts towards greening the economy.”

We are exceedingly unhappy, as Prof Ncube surely is, over the refusal by suppliers to act as the Government expected them to with the duty review.

This is one of the many reasons why we have problems with local business generally. They pursue profit in a not-so-healthy manner. It is profit, profit and more profit. They have no regard for their customers. They have no regard for Government incentives. It is them and them alone.

This is plain greed and corruption which authorities must fight head-on so that policy pronouncements yield the positive effects they are intended to have for the common person.

We implore LPG suppliers to act the way they must; cut the price of the product by 13 percent. By refusing to do so, it means they are unfairly enjoying 13 percent more profit than they did before the duty waiver.

If they continue in their defiance, the Government must find a way of enforcing ethical business conduct in the LPG sector. This can involve a blitz to get the price lowered, reviewing the licensing mechanism or ticketing of those who are violating the law.