HARARE – Zimbabwe’s energy regulator scrapped gasoline blending this week as fuel prices fell in the process.
Compulsory gasoline blending in Zimbabwe was first introduced in 2011.
The Zimbabwe Energy Regulatory Authority (ZERA) did not explain the decision announced in a statement on Thursday.
“The public and operators are advised that the mixing ratio has been revised from E10 to E0,” the statement said.
In previous rainy seasons, the blend was reduced to E5 due to disruptions in ethanol supply at Chisumbanje in Manicaland. Sugarcane is notoriously difficult to harvest between December and February.
Green Fuel, owned by Zanu PF financier Billy Rautenbach, enjoys a monopoly on the supply of ethanol, which is used to blend imported unleaded gasoline.
When the blend was first introduced, the government said it would reduce Zimbabwe’s import bill and lead to cheaper prices – but Zimbabweans never benefited from reduced prices. Zimbabwe’s fuel remains among the most expensive in the region.
Interestingly, when ZERA announced that it would stop blending, it reduced the price of gasoline from $1.42 to $1.41 per litre. Diesel remained unchanged at $1.38 per liter. Prices are revised on the fifth day of each month.
