Africa-Press – Tanzania. THE Energy and Water Utilities Regulatory Authority (EWURA) has directed dealers of Liquefied Petroleum Gas (LPG) to immediately stop hiking prices of the fuel.
This comes after the authority found out that there were some LPG companies that hiked prices of the product.
In the statement, signed by its Acting Director-General Godfrey Chibulunje, the authority said since the Petroleum Act has mandated it to protect interests of customers, it has therefore directed for immediate prices hike stoppage until they receive and assess recommendations and arguments from the dealers over new prices.
On other hand, the EWURA instructed the companies to write to them explaining why they took the stance to raise prices. The statement said the authority would, thereafter verify the explanations and see whether there were proper reasons for doing so, warning that any company that would fail to implement those regulatory directives would risk facing legal measures.
As of September last year, the licensed LPG wholesalers are Manjis Logistics Limited, Camel Oil (T) Limited, Acer Petroleum (T) Ltd, KMJ Limited, Taifa Gas Tanzania Ltd, Hamgas Company Limited, Manjis Gas Supply Company Ltd, Manjis Logistics Limited, Oilcom (T) Limited, Lake Gas Limited, Oryx Gas Tanzania Limited and Orange Gas Limited.
According EWURA’s 2019 report on Mid and Downstream Petroleum Sub sector Performance Review for 2019, the LPG business segment continued to grow with increased imports and investments in storage and refilling plants.
The LPG imported in 2019 was 166,436 MT compared to 143,939 MT imported in 2018, equivalent to 16 per cent increase. About 65 percent of the imported quantity was used in the domestic market, while the remaining 35 percent was destined for transit to neighbouring countries
