Zambia has reduced fuel prices for July, with the energy regulator citing a stronger Kwacha and early gains from the TAZAMA Open Access initiative.
Energy Regulation Board chairperson James Banda announced Tuesday that petrol now retails at K28.00 (about $1.17) per litre, down from K31.36 in June – a 10.7 percent drop – while diesel price has been cut from K25.12 to K23.13 per litre.
The cost of Kerosene fell from K24.79 to K21.98, and Jet A-1 fuel price dropped from K27.08 to K23.94 per litre.
Banda attributed the price cuts to an 11.2-percent appreciation of the local Kwacha currency, which strengthened from K27.06 to K24.03 per US dollar in June.
He also credited the TAZAMA Open Access initiative – a partnership with neighbouring Tanzania that was launched in April – for helping reduce diesel premiums.
He noted that petrol premiums under Tanzania’s bulk procurement system also declined by 20.33 percent, from $157.50 to $125.48 per metric tonne.
The revised prices took effect at 12am (10pm GMT) on Tuesday and are expected to ease inflationary pressures and reduce transport costs across the country.
JN/APA