(Ecofin Agency) - In Zimbabwe, the National Oil Infrastructure Company (NOIC) has announced that fuel pipeline charges in the country will be reduced from January 1, 2017.

This development signifies a reduced pump price and would likely benefit the consumers.

According to the Confederation of Zimbabwe Industries (CZI), its committee on energy has been told that the pipeline charges are expected to drop from $0.85 to $0.65.

“The committee (on energy) was informed that the National Oil Company will with effect from January, 2017 reduce pipeline charges from 85c to 65c. Ideally this reduction should filter to consumers, through a reduced pump price. The committee noted that fuel prices have slightly gone up by two cents, and the margin for retailers has since moved up from six cents to eight cents per litre,” CZI said.

Meanwhile, the Ministry of Energy and Power Development has assured that the country has enough fuel supplies to last till next year.

This comes after reports that the country was having insufficient fuel supplies, Chronicle reports.

The Zimbabwean government has said that fuel imports into the country continue on a daily basis without any interference.

Anita Fatunji