The Council of Ministers of rescinded Concession on the Mozambique-Zimbabwe Pipe Line that has been in Operation since 1982

By Abdul Rahman Bangura-

Photo Credit: iStock

NEW AFRICA BUSINESS NEWS (NABN) Freetown, Sierra Leone- The Council of Ministers, virtually the cabinet, “approved the Decree which revokes Decree 1/84 of 22 February, which grants the Beira – Zimbabwe fuel pipeline exploitation project,” according to Filimão Suazi, Spokesperson for the Cabinet meeting.

“The Decree revokes the concession to the Companhia do Pipeline Moçambique – Zimbabwe [CPMZ] for the exploitation of the Beira – Zimbabwe fuel pipeline and respective benefits: allowing the stability of ongoing investments, it attributes powers to the ministers who oversee the areas of Finance, Mineral Resources and Energy and of Transports and Communications to approve the necessary mechanisms to ensure the continuity of the exploitation of the Beira – Zimbabwe fuel pipeline, without prejudice to the competences of other bodies,” he added.

CPMZ had utilized the Mozambique-Zimbabwe pipeline from the Mozambican coastal city of Beira to Feruka in Mutare, Zimbabwe. Zimbabwe’s National Oil and Infrastructure Company (NOIC) in the mean time, operates the Feruka Pipeline from Mutare to Mabvuku or Msasa depots in Harare.

The CPMZ-Feruka pipeline transports 90% of the fuel into Zimbabwe while the symmetry of the fuel is imported by highway.

For New Africa Business News (NABN) Abdul Rahman Bangura Reports,  Africa Correspondent