ZERA regulates the sector through licensing audits, monitoring of prices, setting standards and specifications; fuel quality audits and compliance audits. The petroleum sub-sector in Zimbabwe comprises of private and state owned companies. The prices of fuels are market driven but monitored through a 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 licences subject to applicants satisfying the terms and conditions:
I. Production licence authorises the licensee to construct, own, operate and maintain facilities for the production of petroleum products, including blending with ethanol.
II. Procurement licence authorises the licensee to purchase fuel for the purpose of reselling it in bulk to one or more licensees.
III. Wholesale licence authorises
the licensee to purchase bulk
petroleum products from any procurement licensee and production licensee
IV. Retail licence authorises the licensee to supply petroleum products to customers
Validity of Licenses
All licenses are valid for a period of one (1) year after which the license may be renewed subject to satisfying periodic audits conducted by ZERA except for the Ethanol Production licenses which is valid for 20 years from the initial licenses.
Regulatory Services
ZERA undertakes the following services in the petroleum industry:
- Infrastructure 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
STAKEHOLDER ENGAGEMENT
ZERA conducts periodic engagements on energy related issues with various stakeholders who include domestic consumers, farmers, industry, mining, commerce, policy makers, media and licensees. The engagements, which are in line with the Public Entities and Corporate Governance Act of 2018, present opportunities to keep the stakeholders apprised on developments in the energy sector.
ZERA provides a mediation and arbitration role, if necessary, in energy related complaints and disputes between licensees and consumers and between licensees.
CORPORATE SOCIAL INVESTMENT
As a responsible corporate citizen, ZERA invests in sustainable energy related programs that have environmental, social and economic impact among underprivileged communities.
ZERA also values the development of human capital in the engineering sector. It supports students undertaking energy related academic programs at different tertiary institutions.
RESEARCH & DEVELOPMENT
Energy sector is evolving and ZERA values all strands of research and development in all the sub-sectors as part of a broad approach to address current and future trends.
ZERA values partnerships with research oriented institutions and individuals in undertaking various industry related, energy supply and demand side researches and innovations for the
ZERA’s research and development programs and projects are in synch with national, regional and international development goals and trajectory.