Zimbabwe, Zambia seal deal on new refined petroleum pipeline

The Government of Zimbabwe has approved a landmark Memorandum of Understanding (MoU) with Zambia to pave the way for the development of a new pipeline aimed at transporting refined petroleum between the two countries.

Information, Publicity and Broadcasting Services Minister Dr Jenfan Muswere made the announcement during a post-Cabinet briefing on Tuesday, highlighting the strategic importance of the agreement in addressing regional energy needs while boosting infrastructure development and private sector participation.

"Cabinet approved the above-stated memorandum, through which Zimbabwe and Zambia wish to facilitate the development of a new pipeline system to transport refined petroleum from Zimbabwe to Zambia," Dr Muswere said.

The proposed pipeline project is designed to capitalise on Zimbabwe's existing oil and gas infrastructure-spanning storage, processing, and transportation facilities-while responding to Zambia's growing demand for affordable, reliable energy.

Dr Muswere explained that the pipeline will not only provide a more cost-effective and efficient alternative to road transport but will also help preserve road infrastructure by reducing the number of fuel tankers in transit.

"Transporting fuel to Zambia by pipeline is expected to take fuel tankers off the roads, thereby reducing damage to road infrastructure," he said.

In addition to improving logistics and reducing maintenance costs on regional highways, the pipeline is expected to strengthen energy security in both countries, lower transportation costs, and curtail tax evasion linked to fuel smuggling.

The project is also expected to open up opportunities for private sector investment in the oil and gas sector, as regional demand continues to grow.

No timeline or budget has yet been announced for the pipeline's construction, but both governments are expected to begin implementation planning following the MoU approval.