Online Reporter
Sikhulekelani Moyo, [email protected]
Consumer advocacy groups have called on Government to intervene following recent fuel price increases, warning that the surge threatens the stability of goods and services across the country.
The Zimbabwe Energy Regulatory Authority (ZERA) announced that Diesel 50 will now retail at ZiG52.19 per litre (US$2.05), while blended petrol (E5) will cost ZiG55.13 per litre (US$2.17). The increases were attributed to the ongoing military conflict in the Middle East, a major global petroleum source, and the need to ensure adequate fuel supply.
The Government, acknowledging the financial strain on consumers, said the adjustment was necessary to maintain supply stability. However, consumer groups say further measures are needed to safeguard affordability.
Responding to inquiries from Zimpapers Business Hub, Chartered Institute of Customer Relations Management president, Dr Mthokozisi Nkosi, said the hike comes at a time when Zimbabwe has recorded positive economic developments, but if unaddressed, it could erode these gains.
“For consumers, we are very concerned because this is going to cause some direct and indirect consequences,” said Dr Nkosi. “Household incomes will be affected, consumption patterns will shift, and overall cost of living will rise. This also reduces consumer purchasing power and could slow economic growth, potentially prompting revisions of growth projections.”
Dr Nkosi suggested several measures the Government could adopt to cushion the impact:
* **Fuel subsidies:** Short-term subsidies could help maintain affordable prices for goods and basic commodities.
* **Tax reductions:** Revisiting the tax component of fuel could lower the pump price for consumers.
* **Targeted support:** Cash transfers or energy assistance programs, such as transport vouchers for vulnerable groups.
* **Public transport subsidies:** Supporting mass transit systems could reduce reliance on private vehicles and lower transportation costs.
“These interventions could assist in cushioning consumers against externally induced pressures, like the current geopolitical crisis affecting global fuel prices,” he said.
The Government emphasised that the current fuel pump price already represents an intervention, noting that without it, diesel would have cost US$2.20 per litre.
Consumer groups say immediate action is essential to protect household budgets and sustain the recent positive economic momentum.
