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Business Writer
Government has ordered a leading fuel supplier believed to be Redan Petroleum that has been exchanging local currency denominated fuel coupons for DFI denominated ones to stop the practice that has been prejudicing consumers including State Departments and agencies of up to half what is due to then. This is so despite consumers having paid for the full value of the commodity at the time of purchase and only to receive half the product on delivery.
Local currency fuel is generally not always available on the market as it is usually characterised by queues compared to that obtainable under the (DFI) concept.
It is against this background that some suppliers have been calling on holders of local currency denominated coupons to exchange them for DFI fuel but in the process forfeit half the volume of the fuel.
Given this, Government – which largely relies on the coupon system has ordered its departments to stop forfeiting their fuel vouchers in favour of DFI volume.
Without naming the supplier, Treasury said it has come to its attention that a certain supplier (Believed to be Redan) is asking Ministries, Departments, and Agencies that are holding large volume based coupons to redeem these coupons for half the face value but in DFI.
“. . . . Treasury together with the Ministry of Energy and Power Development is currently seized with engagements with the said supplier regarding the redemption of fuel coups procured by MDAs (Ministries, Departments and Agencies) for full value,” said treasury in a memo signed by Finance and Economic Development Permanent Secretary George Guvamatanga.
“Therefore MDAs are being directed to stop redeeming coupons and those who had already redeemed some coupons with this supplier should provide the details on the quantity redeemed, including the unredeemed coupons to facilitate engagement with the supplier,” he said.
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