Most fuel retailers comply with set prices

The Government has started identifying fuel service stations that have not reduced prices with a view to taking unspecified action against them, a Cabinet Minister said on Saturday.

Energy and Power Development Minister Dr Samuel Undenge told New Ziana that the majority of fuel retailers had complied with the Government directive to reduce prices to a maximum of $1.44 per litre of petrol and $1.32 for diesel.

"The response from fuel retailers was positive," he said.

"Most of the fuel retailers have adjusted fuel prices following Government announcement for a reduction. By Monday next week we will be able to know how many dealers are in contempt of our order so we can take action against them," he said.

Global oil prices have been on the decline and the government evoked Statutory Instrument number 4 of 2015 to share the benefit arising from the decline in fuel prices.

Consequently, excise duty on petrol was adjusted from $0.35 to $0.45 per litre while that for diesel was increased from $0.30 to $0.40 per litre.

Maximum retail prices were adjusted to $1.44 per litre for blended petrol and $1.32 per litre for diesel.

However, some fuel retailers in Harare, particularly in high density suburbs, were by Saturday still charging as high as $1.49 per litre of petrol and $1.45 for diesel.