Petroleum Sub-Sector
ZERA regulates the sector through licensing audits, monitoring of prices, setting standards and specification, fuel quality audits and compliance audits. The petroleum sub-sector in Zimbabwe is deregulated and comprises of private and state owned companies. The prices of fuel are market driven but monitored through the pricing formula that takes into account all the associated costs.
Who is Regulated?
ZERA regulates any persons or private companies involved in the production, procurement, distribution, transportation and retailing of the following fuel products for commercial purposes in Zimbabwe:
- Petrol
- Diesel
- Paraffin
- Denatured ethanol and ethanol blends
- Liquefied Petroleum Gas
- Jet A1
How Are They Regulated?
ZERA issues the following types of licenses subject to applicants satisfying the terms and conditions:
- Production licenses authorizing the licensee to construct, own, operate and maintain facilities for the production of petroleum products, including blending ethanol
- Procurement license authorizes the licensee to purchase fuel for the purposes of reselling it in bulk to one or more licensees
- Wholesale license authorizes the licenses to purchase bulk petroleum products from any procurement licensee and production licensee.
- Retail license authorizes the licensee to supply petroleum products to customers
Validity of Licenses
All licenses are valid for a period of one (1) year after which license may be renewed subject to satisfying periodic audits conducted by ZERA.
Regulatory Services
ZERA undertakes the following services in the petroleum industry:
- Infrastructural audits
- Fuel quality monitoring
- Price surveillance
- Licensing audits
- Training and demonstrations on safe use of products among operators and consumers
- Setting standards and continuous improvements
- Investment promotion