The government has reduced the Feruka pipeline tariff by 2 cents per litre to encourage the usage of the facility which has capacity to pump 6 million litres daily for regional consumption.
This came out at the opening of the SADC Petroleum and Gas Committee meeting in Harare today, which seeks to harmonise petroleum infrastructure.
As part of the government’s ease of doing business drive, the pipeline tariff reduction is meant to encourage the use of the pipeline by SADC member states.
Permanent Secretary in the Ministry of Energy and Power Development, Mr Patson Mbiriri said Zimbabwe has storage facilities which can hold up to 500 million litres of fuel.
Chairman of the SADC Petroleum and Gas Committee, Mr Baruti Regoeng said the region needs to come up with strategies to harmonise potential infrastructure as well as the reduce of sulphur in diesel.
Experts have concurred that the pumping of oil into the country through the Feruka pipeline could provide an important turnaround moment not only for Zimbabwe but also for the region.