Energy Expert Says Involvement Of Middlemen In Fuel Supply Chain Necessary

By Michael Kaluba

 

Energy expert Johnstone Chikwanda says Zambia cannot completely eliminate middlemen in the fuel supply chain but can limit the number of players to cut irrelevant costs and stabilize fuel pump prices.

Mr. Chikwanda has suggested that government relinquishes its role in the fuel supply chain to enhance private sector participation to curb inefficiencies while eliminating irrelevant players in the supply chain that may be causing pump prices to be high.

He tells Phoenix News that there is a need to review and renegotiate with important players that cannot be done away with such as transportation, insurance, financing institutions, and costing, testing, and quality management services on the costs related to the fuel supply chain to eliminate unnecessary ones.

He is of the view that the government bidding process for sector players is one of the major inefficiencies and was elated that President Hakainde Hichilema indicated his desire to enhance private sector participation in the fuel supply chain to achieve efficiency and stabilize fuel pump prices.

 

PHOENIX FM NEWS

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News Source: Phoenix FM

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