The Sunday News
Judith Phiri, Business Reporter
THE Zimbabwe Energy Regulatory Authority (Zera) has reviewed downwards the local currency and US dollar prices of diesel and blend with effect from tomorrow (Wednesday).
In a statement, Zera said the new prices of Diesel 50 is now $ 714,45 down from $714,91 per litre that was announced last week while Blend (E15) is $675,35 down from $677,32.
In US dollars, Diesel 50 which was US$1,86 is now US$1,80 while petrol (E15) which was pegged at US$1,76 is now US$1,70.
“The public and operators are advised that the blending ratio remains at E15. Operators may sell the petroleum products below the prescribed prices depending on their trading advantages and should display prices in a prominent place as provided for by the fuel pricing regulations,” said Zera.
Last month, Zera said the US dollar prices could have increased had Government not intervened.
It said that the revised prices would have been at US$2,01 for diesel, while petrol would have been at US$1,84 without Government intervention.
Since January this year, there have been increases in the Free on Board (FOB) prices for petrol and diesel and this has a knock-on effect on the pump price of fuel.
The FOB refers to the costs of shipping the product and as a net importer of fuel, any rise in the FOB results in price increases for the product.
The Government has had to subsidise the final price to cushion the economy against pressures in international oil prices.