Zimbabwe Energy Regulatory Authority (ZERA) on Friday last week reduced diesel maximum cost to ZWL$17.28 from 19.55 effected on 17 January this year.
The energy authority says the decision to reduce diesel price is influenced by the global market.
“In view of the significant decrease of the diesel price on the international market, the Zimbabwe Energy Regulatory Authority (ZERA) met the oil marketing companies (OMCs) on 29 February 2020 and deliberated on the impact of the decrease on the local market,” the authority says.
“Zimbabwe is a net fuel importer, hence any movement on the global market has an effect on the local price.”
Oil prices fell for a fifth day on Thursday to their lowest since January 2019 as a growing number of new coronavirus cases outside of China fuelled fears of a pandemic which could slow the global economy and lower crude demand.
Changes in the fuel price internationally have been attributed to the emergency of coronavirus in China.
Oil prices fell for a fifth day on Thursday last week to their lowest since January 2019 as cases of increased coronavirus cases emerged according to international media.
The concern is that the movement of goods and services around the world will decline due to fears of the virus reducing fuel demand.
In South Africa, prices of fuel products including petrol, diesel and paraffin dropped by an average of 95.6.
ZERA says surveillance on possible hoarding of fuel is being carried.
The energy authority, however, increased blend petroleum E5 going up to ZWL$18.40 from ZWL$18.28 effected on 17 January 2020.