Concern over unavailability of Zimbabwean dollar priced fuel

Nqobile Bhebhe, Senior Business Reporter
SMALL-SCALE business operators have raised concern over unavailability of local currency-denominated fuel at service stations in Bulawayo saying they are struggling to access foreign currency to procure the commodity.

This is adversely affecting smooth business operations, which threatens jobs and service delivery.

The Zimbabwe Energy Regulatory Authority (Zera) is on record saying it had identified 57 service stations across the country that will sell fuel in local currency with eight of them being situated in Bulawayo.

Zimbabwe Energy Regulatory Authority

The move was meant to bring huge relief to motorists and businesses who were being forced to source foreign currency on the black market to buy fuel as most garages are not accepting local currency.

The motoring public has been lobbying the Government to avail fuel sold in local currency as most of them are paid in local currency.

However, residents say virtually all service stations charge in foreign currency and businesses are forced to buy foreign currency on the black market to buy fuel.

This emerged during consultative meetings held by Zera and various stakeholders in Nketa and Pumula South in Bulawayo this week.

Mr Arnold Sibanda, a grinding mill operator in Pumula South said he now resorts to buying fuel on the black market, which affects the viability of his venture.

“When I heard that there are some service stations designated to sell fuel in local currency, I viewed it as a noble gesture. It would have meant spending far less money on fuel,” he said.

“However, I am yet to locate those service stations meaning buying fuel on the black market using foreign currency.”

Mr Sibanda said some service stations do not sell fuel to people with jerry cans, in the process disadvantaging small-scale business operators, grinding mill operators included.

Another resident, Ms Anita Chikuni said when local currency-designated service stations are operational, there should be mechanisms in place to cater to non-motorists who use fuel in their businesses.

“My appeal to Government or service stations is that they must cater to business operators who use fuel but don’t own vehicles. We are facing challenges in buying fuel using a jerry can hence end up resorting to the risky black market,” she said.

Speaking to Business Chronicle on Wednesday, CCZ Matabeleland regional manager, Mr Comfort Muchekeza, also appealed to the Government to avail RTGS fuel.

Mr Comfort Muchekeza

He said the local currency fuel will help cushion many business enterprises and workers.

“Even if RTGS fuel is limited there should be a way of rationing it to motorists and small-scale business operators,” he said.

Responding to these concerns in an interview with Business Chronicle, Zera chief executive officer, Mr Edington Mazambani, said the regulatory authority was ready to roll out the local currency fuel.

However, due to several ongoing Government projects countrywide, fuel is currently channelled to these projects.

“There is an initiative that has been taken to avail RTGS fuel and we have identified about 57 retail outlets.  But at the moment the RTGS fuel is being channelled towards key Government initiatives, which consume a considerable amount of fuel,” he said.

Mr Mazambani said because fuel is always procured in US dollars and for the sustainability of supplies, it was prudent that supplies to key national projects are not interrupted.

Zera chief executive officer Mr Edington Mazambani

“However, the programme to avail fuel in RTGS is in the cards and already there is a fuel monitoring system installed in most service stations where the RTGS fuel would be sold,” he said.

“Working with the Reserve Bank of Zimbabwe, a fund is going to be in place to ensure fuel is available.”

“At the moment there are pressing programmes such as the emergency road rehabilitation, construction of dams, winter and summer wheat program which are consuming a lot of fuel.”

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