Zimbabwe makes E5 ethanol blend mandatory

Aug 16, 2013 - The Zimbabwe Energy Regulatory Authority (Zera) earlier this week introduced mandatory blending with 5% ethanol for all petrol sold at the pump, known as E5, effective immediately, local media reported.

Zera chief executive Gloria Magombo was cited by news portal AllAfrica as saying that the quality of the E5 blend would be in line with the Standards Association of Zimbabwe Standard: ZWS964 Part 1.

The move to launch mandatory blending follows the licensing of local ethanol producer Green Fuel (Pty) Ltd which has met certain government-set conditions. In May the Zimbabwe Broadcasting Corp (ZBC) said the government will soon own a 51% stake in Green Fuel’s USD-600-million (EUR 450m) ethanol plant.

Now the Zimbabwe government has fixed a starting wholesale price for blending ethanol at USD 0.95 per litre for 90 days. Zera will review the price every three months. According to AllAfrica’s report, unleaded petrol in Zimbabwe is selling at USD 1.48-1.51, while the price for E5 is USD 1.10.

(USD 1 = EUR 0.75)

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