Govt cautions oil marketing companies over alleged hoarding of petroleum products

The Energy Regulation Board (ERB) has cautioned the Oil Marketing Companies (OMCs) and petroleum retail dealers to desist holding back sales of fuel, especially the days leading up to the announcement of the monthly price reviews.

This comes against the background of purported stock out reports at some filling stations prior to the ERB price review announcement.

Public Relations Manager, Namukolo Kasumpa, said this in a statement issued in Lusaka Friday.

She said this practice was an offence under clause 2.2 of the Conditions of the Licence to Retail Petroleum Products.

Kasumpa stated that hoarding petroleum products creates an artificial impression of fuel stocks shortage across the country.

She said this triggers unnecessary anxiety in the market and putting undue pressure on the petroleum supply chain.

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“Accordingly, OMCs and Petroleum Retail dealers are hereby warned against engaging in behavior which amounts to hoarding petroleum products.

“In this regard, the ERB hereby reiterates 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 licence,” Kasumpa said.

She called on members of the public to report instances of suspected petroleum products hoarding to the ERB.

Kasumpa said this will help curb this practice.

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