Business / Economy
Arthur Mutambara, Elton Mangoma clash over Green Fuel
26 May 2012 at 03:52hrs | Views
DEPUTY Prime Minister Arthur Mutambara and Energy and Power Development Minister Elton Mangoma have clashed over the issue of Green Fuel, with the latter taking a hard-line stance by declaring the product must be exported as controversy over the issue rages on.
During question time in Parli-ament last week, Mutambara said cabinet was seized with the matter of Green Fuel and a ministerial team had been established to look into a range of issues concerning the project.
These included the shareholding structure; the displacement of villagers in Manicaland to pave way for the project as well as the issue of blending.
Mutambara said at the end of the day, there was no need for the blend to be exported.
"That is why we have an inter-ministerial committee addressing the very same issue. They are going to report back very soon because we do not want that scenario where we are exporting ethanol when we have fuel needs in the country. We do not want that scenario where we lose jobs for 4 500 people. We are going to address the issue of the shareholding of those companies involved," said Mutambara.
Soon after Mutambara's statement, Mangoma said Green Fuel must export their product as that would not prejudice the country, adding that at the moment the cost of ethanol is more than the cost of petrol, describing those behind the project as fat-cats.
He said during cabinet deliberations no minister had claimed responsibility for approving the project, and as it stands, government was not aware of the shareholding of the companies involved.
"Green Fuel must export their product and exporting their product does not prejudice this country one bit. It also does not prejudice this world one bit because whether pollution has been done in Zimbabwe or is being stopped in Australia, it is the same thing as far as the universe is concerned," said Mangoma.
"But if you take it further, the international cost of ethanol is between US$0,72 and US$0,76 cents and our ethanol here is costing US$1. That is at least US$0,24 over and above that. Who is benefitting from that US$0,24 cents? And why must we prejudice our people on that."
He stressed that the landed price for petrol and diesel included levies and duties which have to be paid by the fuel companies.
Mangoma said Green Fuel had built a power plant without first seeking a license and was only licensed after the Energy Ministry told them that it would be shut down as lawlessness would not be tolerated.
During question time in Parli-ament last week, Mutambara said cabinet was seized with the matter of Green Fuel and a ministerial team had been established to look into a range of issues concerning the project.
These included the shareholding structure; the displacement of villagers in Manicaland to pave way for the project as well as the issue of blending.
Mutambara said at the end of the day, there was no need for the blend to be exported.
"That is why we have an inter-ministerial committee addressing the very same issue. They are going to report back very soon because we do not want that scenario where we are exporting ethanol when we have fuel needs in the country. We do not want that scenario where we lose jobs for 4 500 people. We are going to address the issue of the shareholding of those companies involved," said Mutambara.
Soon after Mutambara's statement, Mangoma said Green Fuel must export their product as that would not prejudice the country, adding that at the moment the cost of ethanol is more than the cost of petrol, describing those behind the project as fat-cats.
He said during cabinet deliberations no minister had claimed responsibility for approving the project, and as it stands, government was not aware of the shareholding of the companies involved.
"Green Fuel must export their product and exporting their product does not prejudice this country one bit. It also does not prejudice this world one bit because whether pollution has been done in Zimbabwe or is being stopped in Australia, it is the same thing as far as the universe is concerned," said Mangoma.
"But if you take it further, the international cost of ethanol is between US$0,72 and US$0,76 cents and our ethanol here is costing US$1. That is at least US$0,24 over and above that. Who is benefitting from that US$0,24 cents? And why must we prejudice our people on that."
He stressed that the landed price for petrol and diesel included levies and duties which have to be paid by the fuel companies.
Mangoma said Green Fuel had built a power plant without first seeking a license and was only licensed after the Energy Ministry told them that it would be shut down as lawlessness would not be tolerated.
Source - Fingaz
