GreenFuel guarantees E20 blend

Zimbabwe's leading ethanol producer, GreenFuel Pvt Ltd, has signalled its readiness to mitigate the impact of global fuel supply disruptions by sustaining up to a 20 percent ethanol blend (E20), as authorities move to stabilise rising fuel costs.

The development comes amid supply shocks linked to the Middle East conflict, which have driven up global fuel prices. Locally, petrol is now selling at US$2.05 per litre, while diesel has risen to US$2.17 — increases that economists warn could fuel inflationary pressures.

Vice President Constantino Chiwenga toured GreenFuel's Chisumbanje plant on Thursday to assess mitigation measures following the recent price hikes.

During the visit, Chiwenga urged ethanol producers to scale up production and storage capacity to shield the economy from external shocks.

GreenFuel indicated that higher ethanol blending could deliver immediate price relief to consumers, estimating savings of approximately US$0.18 per litre if the country adopts an E20 blend instead of the current E5 ratio.

The Vice President directed the Ministry of Energy and Power Development, led by July Moyo, to convene ethanol producers and coordinate industry-wide efforts to reduce fuel price volatility.

"With a storage capacity of 40 million litres and the increased production they have achieved, they can now ameliorate the petrol supply shocks we are beginning to experience," said Chiwenga.

He emphasised the need for collaboration between Government, producers, and other stakeholders to ensure consistent fuel supply.

GreenFuel general manager Conrad Rautenbach said the company's expansion at Chisumbanje is aimed at strengthening both national energy resilience and business growth.

"As a company, we have been upscaling and upgrading throughout the years. Obviously, like everyone, we didn't predict a crisis in the Middle East, but we tried to be prepared and to be self-reliant as a company and as a country," he said.

Rautenbach added that the firm is accelerating investments across its value chain, including sugarcane development, processing capacity, and storage infrastructure.

"This year, the plan is to produce 120 million litres of ethanol and now, with our upgraded storage facility, we should be able to have E20 throughout the year instead of dropping to E5," he said.

In a related development, Chiwenga also visited Tanganda Tea Company, where he commended the firm for adopting solar energy solutions and supporting more than 1,000 small-scale farmers through its outgrower scheme.

The Government's push towards higher ethanol blending forms part of broader efforts to reduce reliance on imported fuel, stabilise prices, and strengthen economic resilience in the face of global market volatility.