Gas Prices Increase Again
The price of gasoline at the pump has gone up by K1.30 from the previous K27.22 per litre to K28.52 thanks to the Energy Regulatory Board (ERB).
Nonetheless, the board decided to keep the prices of fuel and kerosene at K29.25 and K22.29 per litre, respectively.
The board declared at the end of the previous month an increase in the price of gasoline, diesel, and kerosene at the pump for the month of February by K2.73, K2.81, and K2.31, respectively.
ERB board chairperson Reynolds Bowa blamed the depreciation of the local currency, the Kwacha, and high international oil costs this month for the increased pump price of gasoline during the monthly price review media briefing this afternoon.
“During February 2023, the local currency depreciated from an average of K18.90/US$ to K19.40/US$, representing 2.65%. The depreciation was mainly attributed to low foreign exchange supply, particularly from the mining sector, amidst high demand by market players, “Mr Bowa said.
He proceeded by saying that the ongoing depreciation was brought on by tighter global financial conditions and unfavorable perceptions of Zambia’s extended debt restructuring negotiations.
“Therefore, the combined effect of the two factors (i.e. the exchange rate and international oil prices) has resulted in an upward adjustment in the price of petrol, which was above the 2.50% wholesale price trigger band,” Mr Bowa said.