OMCs WARNED AGAINST DELIBERATELY HOLDING BACK SALES OF PETROLEUM PRODUCTS DAYS BEFORE MONTHLY PRICING REVIEW



By Patricia Male


The Energy Regulation Board -ERB- has cautioned Oil Marketing Companies -OMCs- and petroleum retail dealers against deliberately holding back sales of petroleum products especially days leading up to the announcement of the monthly pricing review.


The ERB says this practice is tantamount to hoarding and is an offence under clause 2.2 of the conditions of the license to retail petroleum products.


ERB Public Relations Manager Namukolo Kasumpa says hoarding petroleum products creates an artificial impression of fuel stocks shortage, triggering unnecessary anxiety in the market and putting undue pressure on the petroleum supply chain. 


Mrs. Kasumpa has reiterated that any licensee found in breach of license conditions will be subjected to the due enforcement action which includes fines, suspension and/or revocation of their respective license. 


Recently, Oil Marketing Companies Association of Zambia President, Dr. Kafula Mubanga indicated to Phoenix News that the Association is advocating for a policy statement that would allow ERB to make it a crime for any oil marketing company to run out of fuel within days of a price increase as is the trend currently by some OMCS.


PHOENIX NEWS

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