Makamba unveils government’s plan to control high oil prices

Makamba unveils government’s plan to control high oil prices

As the oil price remains high for the second week consecutive since the 100 Tsh levy on oil imports reinstatement, the Minister of Energy, January Makamba, presented the government’s plan at the parliament today, April 13, 2022.

Hon Makamba said the government is currently looking into ways to start a funding program that would effectively respond to future oil price crises and prevent the country from recession.

Hon Makamba said that many countries, including the leading oil producers such as the USA, have experienced frequent oil price fluctuations in the past sixteen months.

However, he said the trend of soaring oil prices varies in scale and speed between countries.

He said for a long time, there had been a dream of having strategic oil. Eventually, that dream would finally come true this year as we are currently drafting a policy on oil storage.

He said they have found partners in investment in oil and gas storage infrastructure to enable the reservoir to operate.

Makamba further added that the government is still negotiating with oil-producing and selling countries to buy oil direct at an affordable price.