LPG Prices Remain High Despite VAT Removal

Zim Now Writer

Government has criticised LPG operators for failing to lower prices despite the removal of VAT on LPG gas, effective January 1, 2025, under Statutory Instrument 195 of 2024.

In a statement on January 30, Finance Minister Mthuli Ncube called this practice unethical, noting that operators were profiteering from a policy meant to benefit consumers.

"Government has noted with concern that some LPG operators have not reduced their prices, thus profiteering from the VAT relief which was aimed at citizens," he stated.

The Zimbabwe Energy Regulatory Authority had earlier issued pricing guidelines post-VAT removal, but many operators have not complied.

Minister Ncube urged LPG suppliers to reduce prices accordingly, emphasising the importance of easing consumer burdens and supporting economic stability.