Fuel pipeline plan collapses

Government has dropped plans to construct a $1 billion petroleum pipeline from Mozambique to augment the existing  funnel channel which no longer has the capacity to adequately supply fuel into the country.

The move comes after Maputo, which was given the proposal three years ago, snubbed President Robert Mugabe's administration.

The plan was to construct a second pipeline linking the port of Beira and the Msasa fuel Depot in Harare to complement the existing Beira to Harare pipeline built in 1996.