THE Government has directed the Energy Regulation Board (ERB) to strictly monitor specific uplifts of fuel to ensure Oil Marketing Companies (OMCs) do not hoard the commodity.
Mines, Energy and Water Development Minister Christopher Yaluma said Government found it unacceptable that filling stations in some parts of Zambia had continued to run out of fuel despite the country having sufficient stocks at Indeni Petroleum Refinery and Tazama fuel terminal in Ndola.
Mr Yaluma said in a ministerial statement in Parliament yesterday that preliminary results from investigations had shown that sporadic shortages were caused by OMCs’ failure to put in place effective logistics to deliver fuel to their filling stations.
The minister said ERB should be compiling information on deliveries on a regular basis.
He said in the last 10 days, OMCs uplifted 11.4 million litres of petrol and 25.1 million litres of diesel from the Ndola terminal.
Mr Yaluma said failure by the OMCs to put in place effective logistics was an abrogation of their commitment to efficient service, which was part of their licence conditions.
He said OMCs found to be hoarding fuel would be penalised.
“Furthermore, I have also directed Tazama Pipeline Limited to upscale their operations and dispense as much fuel as possible,” he said.
Meanwhile, Mr Yaluma told the House that Government was in the process of constructing 24 fuel storage tanks.
Responding to a question raised by Kanchibiya Member of Parliament (MP) Davies Mwango (PF), Mr Yaluma said the storage tanks would be located in various parts of the country.
In another ministerial statement, Transport, Works, Supply and Communication Minister Yamfwa Mukanga expressed sadness at the increased loss of life through road traffic accidents.
Mr Mukanga said Government’s policy on road safety was to protect lives of road users and their property through the introduction of effective road safety measures and regulations.
The minister said the Government would improve road infrastructure to include more detours and embark on emergency repair of potholes.
“I would like to assure members of this august House and the general public that Government is working to reduce the loss of lives,” he said.
[Times of Zambia]
first to comment. control them kabili. you’re the government. it is also unacceptable for you to continue complaining when you’re doing nothing abt it
It is strange that logistics should fail them today when they have been operating well all along. There must be somehting fishy that the honourable does not want to put across. Too much of a PF cader erodes ones’ intelligence
You re the worst energy Minister this country has ever had.
The Minister has no right ot direct ERB because it is an independent institution. Poor planning of the PF and corruption has led to shortages!!!
the country is on auto pilot…so sory it is on the chimwi no plan mood until 2016….
OMC’s are there to make money,why should they hold back when they have clients to serve?Yaluma is behaving like Eve in the garden of eden by refusing to take responsibilty.Just own up and redress the situation,why follow the footpath of MMD which you condemed when you were in opposition?
There is something terribly wrong that the nation is not being told. Logistical problems can not just start now. The flow of fuel from Ndola has always been smooth, and all the OMCs cant just face the same problem at the same time! There is something amiss here! GRZ should show leadership and flex its muscles if necessary! The energy sector appears to be in shambles, what with constant power cuts.
PDSA. Plan. Do. Study. Act.
At #4, don’t u know that ERB falls under ministry of Energy? Therefore the minister has every right to query them and give the directives. They have the same status as RDA or RTSA. I smell sabotage from the OMCs and so bwana Minister crack the weep!
It is unacceptable for a government in charge not to be in charge
It is no secret that OMC’s prefer to import fuel from outside the country than get it from Indeni because they make more profit from fuel imports as it is exempt from tax. That is why OMC’s will never say anything good about Indeni and they would love to see the refinery shut down for good so that they can continue with their mercenary ways.
Dull duller dullest minister zambia has seen.Its because there is little fuel on the market, thats why filling stations have run out of fuel.You want them not to sell it?Blurry Basket.
Every time I see this photo of Mr. Yaluma, I wish someone would please give the poor fellow a laxative.
Tazama has been allocating OMCs daily fuel uplifts below their market shares. Implying Tazama & Indeni are operating on hand to mouth. Actually if large Zambian OMCs like PUMA & Total had not imported part of their fuel stocks, most of you commenting would be walking! # 9 Chimbamilonga, your reasoning is ridiculous and indicates serious lack of knowledge on operations of OMCs. It is ridiculous & ludicrous for an OMC to hoard product and cause a shortage, actually OMCs have resisted keeping 15 days strategic stock as it is deemed financially costly. So why cause a shortage? # 11 Twafwa Ifwe, currently there is no SI waiving taxes on fuel imports and ex-SADC fuel landed in Zambia with all taxes is too costly for service stations. STOP FEEDING ON PROPAGANDA!
It is unacceptable as if you have given them the fuel
Bwana minister you have failed. The blame game you are playing will cost you your job. Watch this space and confirm if you will be holding this portfolio after August. You are in the firing line.
The only problem which is affecting the availability of fuel is the PAY AS YOU LOAD from the source.Most filling stations owners have very little capital e.g chingola,chililabombwe etc so what is happening is that when o filling station runs out of petrol,they will wait for diesel to be sold at least half the quantity in the tanks that’s when they will will order petrol when the money is enough.And the same will happen when diesel run out of stock.And the following are the solutions
1.Why shouldn’t they get bank loan
2.they should just give their filling stations to people ( with huge capital base) who are capable of managing
#17 Christopher There is no nkongole in the fuel business, it has always been COD. The OMCs always want dealers with a minimum cash of K400 million to run their service stations. It is a very risky business to run especially if one has dishonest employees. Their mark up is just about 7%.
Why is it that the PF government seems to be blaming everybody for their own cock-ups? When are they ever going to take responsibility for the floundering economy? What is wrong with these people? How did GOD arrange it such that you have a high concentration of the same incompentent and congenitally dull people in the same party like this. NOBODY in PF government seems to know what he or she is doing! It is sickening to think that we are going to continue putting up with this rotten mess for another 4 years. Satan didn’t have to be so cruel to our country!
The whole system is broken
The topic starter give us some decent points there~~~ before I have no idea about it but now I seemed know somthing~~~lol~`thanx the starter ~~keeping your blog fresh..I will get your back~~~
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