THE Energy Regulation Board (ERB) should start reviewing fuel pump prices on a monthly basis to ensure that Zambians enjoy the benefits which come when the prices reduction in the international market, says the Economics Association of Zambia (EAZ).
EAZ national secretary, Mutisunge Zulu said that methodology had been effected in fuel jurisdictions such as South Africa and Botswana where on a monthly basis pump prices were reviewed in line with global oil price developments.
Mr Zulu said that EAZ was cognisant that private sector activity continued to be in the red zone due to high cost of production.
He explained that was as a result of elevated manufacturing cost curves as a consequence of higher fuel prices.
In a statement to the Sun, Mr Zulu said risks to growth threatened the nation’s attainment of its Gross Domestic Product (GDP) target for 2019.
“The association would advise the Energy Regulation Board to rethink its pricing and fuel procurement strategy to allow for benefits of crude price trickle to the markets to allow for reduction in international crude price to be reflected in fuel pump prices locally,” he said.