- Stay Connected
Socialize
Fuel Hike and Removal of Subsidy – Timely or Not?
Fellow colleagues,
Am in a situation of which i know this might also have affected you. At the time i was about to fit my budget to the high cost of sugar which has gone up by 14 percent, there came the Mealie Meal saga. For those who are addicted to Nshima like myself and live a moderate life, then the Kr 5500 should be affecting your disposable income.
As i was trying to sober up and accept the situation another hurricane came – the increase of the fuel prices owing to government’s decision to cut off the fuel subsidy. To be honest, i didn’t take this serious not until i visited a filling station – and without going into calculations – the bottom line is that i left the filling station upset and this remains a permanent tag for now. Fuel is now close to Kr 10 per Littre (about 2 dollars).
Let me spend some time on this fuel issue and hope others will chip in with their views and expressions . I also know that others will follow this debate keenly from the terraces.
Rising fuel prices affect not only our wallets, but they also affect our minds. Psychology plays a key role in the way us consumers react to rising fuel or gas prices. When fuel or gas prices rise, the price of everything else rises along with it- which is very simple economics.
The cost of things people buy every day, like groceries, rises, and the increasing costs of vacations and family visits start to become too much for many families to be able to pay on a limited budget (i bet the latter point relates to most of the people copied in this mail).
Perhaps the hardest for consumers to stomach is the rising cost of transportation to and from work which affects the ordinary people (and presently, there is an impending bus hike). When it costs more to get to work, take-home earnings go down. It’s like taking a pay cut.
Now my question colleagues to this developed are as follows;
· Was the decision to remove fuel subsidies the right long term choice for government?
· Should government have gone through stakeholder consultations before this action just like the way they have done on the impending ZESCO tariff hike?
· What is the most effective way that government can reduce the exorbitant energy prices in the country?
· Should government be looking more seriously to develop alternative energy?
Looking forward to your valued views as usual and in the mean time CUTS International Lusaka has also issued a statement which is attached for your reference.
With regards,
Simon Ng’ona
Centre Coordinator
CUTS International Lusaka
P.O. Box 37113
Posted by
Mpangula Mputyu
May 6, 2013 at 11:19 am
My friend, SATA and pipo like Chimbwili Kashimba, Sakeni, Edgar, Bayama baba Sata ba Chikwanda, Wynter in his midst running Zambia. We are doomed.
affected citizen
May 6, 2013 at 12:59 pm
The crazy part of it is that the country is still exporting power to neighboring countrys. If the cost of production is high y not stop exporting power so that it is sufficient for our country alone. Secondly the increase in fuel price came two days after south africa reduced its fuel price. So hw will zambia xplain its increment. Hw do they increase fuel prices and expect fares to remain the same. Because that is also they source of income.
jedddy
May 6, 2013 at 4:24 pm
fyabupuba whats a salary increment when everthing else rises in prices ga batulekefye.
patiii
May 6, 2013 at 4:44 pm
its ok pf knows what is doing.viva sata viva pf
Chile
May 6, 2013 at 9:05 pm
The removal of fuel subsidy is 100% ok wembwawe.It has merits and demerits ******.only shallow –minded people like you will continue complaining.Viva PF in surppot.
Popopo
May 6, 2013 at 9:53 pm
Ndefwyako incinga yakushita. I want to
cut my fuel costs.
kakolwe
May 6, 2013 at 10:18 pm
@chile, do you recall that as at 2006 & 2008 our Sata was in the fore front campaigning that Zm had the highest fuel pump prices? Let him appologise for those promises he made.
Moze
May 7, 2013 at 8:16 am
I feel you guys this is really bad but its everywhere wallets cant stand the pressure l live in Joburg R13 per litre and l do 70kms everyday spending R120 so meaning you guys are still okay and probably only do 10kms a day there am planning to come back.
Bwalya
May 7, 2013 at 8:56 am
Pf wil be the party with the shortest period in office, cum 2016 u ar out.
Twiumfwako
May 7, 2013 at 1:04 pm
@Popopo, ninkwata injinga for sale: Make – Hero, mukulu taila, musculine type, almost new, needs greasing once in six months. Price: KR350.
concernedcitizen
May 8, 2013 at 11:54 am
This is a funny, south africa has reduced fuel because crude oil has been reduced on the world market , it used to sale at US$150 per barrel now its been slashed to $90 a barrel. Now one wonders are we supposed to have an inflation or a reduction in a fuel price. Whose interest is the pf government serving? is it for the zambian people or for a few corrupt people in the leardership who wont even feel the impact in the hike?