Diesel now more expensive than petrol

Diesel is now more expensive than petrol for the first time in a long time in Zimbabwe.

The latest fuel adjustment made by the Zimbabwe Energy Regulatory Authority (ZERA), left the maximum pump price of diesel at ZWL$9.06 as compared to blended petrol's ZWL$9.01.

ZERA Communications Officer, Gladman Njanji confirmed the new prices, which were also posted on the authority's Twitter handle.

ZERA explained that the new price adjustment has been necessitated by increased transportation charges, also known as freight on board (FOB) and the revised duty regime under Statutory Instrument 161 of 2019.

Of the set prices, FOB accounts for just over ZWL$0.6 and about ZWL$5.9 per litre for diesel and petrol respectively, while ZIMRA duty is nearly ZWL$2.5 per litre for diesel and just above ZWL$2.7 per litre for petrol.

Dealers will enjoy a profit margin of less than ZWL$0.6 per litre for the two commodities.

Demand for diesel has of late gone up by 20 percent, as the commodity is used in most industries and has been a substitute for electricity especially at such a time the country is experiencing intermittent power cuts.