Govt is mulling changing the fuel pricing system from weekly price reviews to monthly price reviews, the Sunday Mail reports. The reason behind this consideration is because the weekly reviews are fuelling price volatility and businesses are unable to plan and consumers are mostly affected by these moves according to the publication.
Speaking about the idea on the table to change the pricing system to monthly reviews, Energy Secretary Engineer Gloria Magombo said:
But as Government, we are very clear that as we go forward and once stabilisation on the macro-economic front is achieved, we want to bring the monthly reviews model.We have already written to the regulator to indicate that we are seeing stability going forward.
Now we want them to start looking at that option and we need them to engage with the oil companies and the consumers, and be clear on where we want to go. Government wants Zera to consider moving to adjustments after two weeks with a view to moving to a longer period.
ZERA had opted for the weekly fuel price reviews to curb inflation and not shortchange importers and dealers.
More: The Sunday Mail