PETROLEUM OPEN ACCESS AND TAZAMA
THE Ministry of Energy acknowledges the recent media reports highlighting adjustments in fuel prices following the implementation of the Open Access policy on the TAZAMA pipeline.
This development is a testament to the Government’s commitment to fostering a competitive and transparent petroleum sector for the benefit of all Zambians.
The Open Access regime, which allows multiple Oil Marketing Companies (OMCs) to utilize the TAZAMA pipeline, has led to significant reductions in premiums quoted by suppliers for diesel on the pipeline.
It is important to note that the Open Access Guidelines were developed through a collaborative process involving all key players in the petroleum sub-sector. This inclusive approach ensured that the framework addresses industry concerns while promoting fairness, efficiency, and security of supply for fuel importation and distribution.
The Government appreciates the cooperation of Oil Marketing Companies (OMCs), transporters, and other stakeholders in shaping a policy that benefits both businesses and consumers.
We reiterate that the Government has no role in determining how suppliers arrive at their oil prices each month. Under the Open Access policy, pricing decisions are solely driven by market forces, including global oil prices, exchange rates, and competitive bidding among suppliers.
The Ministry of Energy’s primary role is to ensure that the market remains fair, transparent, and accessible to all qualified players. The Government remains steadfast in upholding transparency and accountability in the energy sector.
The Open Access system was designed specifically to eliminate monopolistic tendencies and ensure fair participation for all OMCs. Any company meeting the set criteria is free to import fuel through the TAZAMA pipeline, and all processes are conducted in a transparent and competitive manner.
We reaffirm our commitment to good governance, fairness, and transparency in all aspects of fuel procurement and distribution. The Ministry of Energy will continue working with relevant oversight institutions to ensure that integrity remains at the core of Zambia’s petroleum sector.
We commend the OMCs for embracing this policy shift and urge all stakeholders to maintain efficiency and fairness in fuel procurement and distribution. The Ministry remains committed to monitoring and facilitating a competitive market that serves the interests of both industry players and consumers.
We assure the public that the Government will continue implementing policies that promote affordability, efficiency, and security of supply in the energy sector.
We also appeal to the public to constantly engage the Ministry of Energy for any clarifications on petroleum issues to avoid speculations.
ISSUED BY
PETER MUMBA (Mr)
PERMANENT SECRETARY – TECHNICAL SERVICES.
MINISTRY OF ENERGY