We won’t reduce oil prices because Kwacha is useless – Siliya

The PF regime says it will not reduce the cost of fuel despite the massive reduction of oil from the producers.

Energy Minister Dora Siliya says her PF regime led by a visionless but violent president can not reduce the price of oil because the Zambian Kwacha is uncertain and unpredictable.

Siliya has the guts to stand in parliament and attack the local currency in such a manner that is likely lead to further depreciation of the Kwcha.

Siliya explained that the depreciation of the Kwacha against major convertible currencies has cancelled out any benefit that could have reflected in reduced fuel pump prices.

She said with the volatility in the exchange market, it is not possible to adjust prices in any direction until such a time when the direction of the exchange rate will be certain and predictable sometime in the unforeseeable future.

Siliya said that while the international prices of oil have fallen, other cost elements in the cost-plus that need to be fully accounted for ought to increase. She probably thinks Zambia is the only country that incurs costs in buying fuel

Siliya was at pains trying to mislead the country that the commingled petroleum feedstock that Zambia imports is more expensive than that of pure crude oil which is normally quoted on the international market. But who forces Zambia to buy the expensive oil instead of buying the cheap one?

 

Share this post