MUNDUBILE CONDEMNS INCREASE IN FUEL PRICES, PROPOSES REVAMPING INDENI
Lusaka, Thursday (February 2, 2023)
Leader of the Opposition in Parliament Brian Mundubile says the increase in the pump price of fuel will exacerbate the suffering of majority Zambians, especially with the high cost of living.
Mr. Mundubile who is also PF Presidential Candidate said the people of Zambia had now realized that the PF was truly a pro-poor party that protected citizens from untold misery.
He said the monthly reviews of fuel prices introduced by the New Dawn Government made it difficult to plan for the business community and ordinary citizens.
“If I took you back, the challenges we are facing today are the challenges we faced previously decades ago,” he said.
Mr. Mundubile said Zambia resolved fuel challenges through the construction of the 1,700 kilometre pipeline from the port of Dar es Salaam in Tanzania to Ndola here in Zambia and the Ndola Refinery.
“What these two facilities do is that they stabilize fuel prices and cushion the sudden changes in international oil prices or sudden changes in exchange rates,” he said.
Mr. Mundubile said by removing Indeni and the pipeline from the equation, consumers have an adverse impact from fundamental factors that affect the fuel prices.
“I remember when I served as Energy Regulation Board (ERB) Board Chairperson, we were not reviewing prices frequently. We had what we called trigger point which was that fuel prices were increased by over 2.5 percent. So that 2.5 percent served as a cushion and you saw that fuel prices remained stable for a long time. It is indeed a source of concern,” he said.
He urged the New Dawn Government to quickly modernize Indeni so that it can move from only processing soft crude to also processing hard crude.
“That way, the benefit will go to the consumers. You must understand that one of the reasons fuel prices are high is due to logistics because we are moving this fuel by road which is a huge cost,” he said.
Mr. Mundubile proposed that, Zambia needed to start transporting hard crude through the pipeline and process it, if stability in fuel prices is to be achieved.
“Not what we are being told everyday there are decisions that are changing regarding that particular facility. The solution is to go back to the original position and appreciate why Indeni and the pipeline came into existence. If at all along the years there were changes and variations, we could simply invest in Indeni and modernize it,” he said.