'ZERA Will Ensure That There Is No Abuse', Govt Official Speaks On The Sale Of Fuel In Forex

Secretary for Energy and Power Development Engineer Gloria Magombo said the Zimbabwe Energy Regulatory Authority (ZERA) is working on a mechanism to ensure that fuel retailers will not abuse the facility to sell the product in foreign currency.

Magombo was speaking to reporters following revelations that some fuel service stations with free funds have been given the approval to sell fuel in hard currency. She said:

What is happening is that a proper regulatory system will be put in place to make sure that (abuse) does not happen. We will work with management to make sure they come up with some form of I.D system for the fuel.

There will be regulations in the licensing system and ways of managing it through the banking system. That is why the RBZ is working with ZERA, in terms of how to manage the free funds for use and acquisitions.

There are reports that several fuel dealers across the country are selling fuel in foreign currency in direct contravention of statutory instrument 142 of 2019 which banned the use of foreign currency in domestic transactions.

Before the latest development, only a few designated fuel service stations could sell fuel in forex in terms of Statutory Instrument 212 of 2019.

SI 212 of 2019 allowed only guests of the State and diplomats to buy petrol, diesel or other petroleum products in foreign currency.

More: Business Weekly