Harare, (New Ziana) – The Zimbabwe Energy Regulatory Authority (Zera) on Saturday marginally reduced fuel prices for the month of June in line with the prevailing economic trends.
Fuel prices are currently being reviewed on the fifth of every month.
For the month of June, Zera has set the price of diesel at $110.54 down from $111.43 per litre or alternatively US$1.30 from US$1.32 the previous month.
Petrol is down by seven cents to $112.55 while the price in US dollars remains unchanged at $1.33 per litre.
“Operators may sell at prices below the cap depending on their trading advantages,” Zera said.
The regulator has acknowledged that fuel is increasingly being sold at prices that are below the set caps due to increasing competition in the sector after government allowed individuals with free funds to import and sell the commodity.
The trend has however seen majority of fuel service stations selling the commodity in foreign currency, while very few, which are getting foreign currency allocations from the Reserve Bank of Zimbabwe sell in local currency.
Government last year allowed service stations to sell the commodity in foreign currency.
With more players joining the sector, fuel availability also improved doing away with shortages that had dogged the country for years.
ZERA said last month it was still receiving more applications from those interested in joining the sector.