The Energy Regulation Board – ERB – has fined five (05) energy companies a total of K180, 000.00 for breaching various license conditions which included the dispensing of fuel in a Public Service Vehicle with passengers on board and retailing petroleum products at an old pump price contrary to ZS 385 Part 5 Clause 4.8.2 and Clause 3.6.4, respectively of their license to Retail Petroleum Products.
Energy Regulation Board Public Relations Manager Namukolo Kasumpa told the Zambian Business Times – ZBT that following recently held enforcement hearings, the Board fined Vivo Energy Limited, K60,000; RUBiS Energy Zambia Limited , K30, 000; Total Energy Marketing Zambia Limited, K30,000; Puma Energy Zambia PLC, K30, 000; and Oasis Oil Energy Zambia Limited, K30, 000, respectively, for breaching various ERB licence conditions.
However, energy experts have told ZBT that ERB needs to update its fines regulation so that fines serve the desired purpose of being punitive and achieve the intended purpose of acting as a deterrent for repeated breaches. If you look at the monetary value of the fines ERB is handing out relative the revenue and profits energy companies make, these fines are pocket change.
“Specifically, Vivo Energy Limited was sanctioned for dispensing fuel in a Public Service Vehicle with passengers on board on 1st April 2023 contrary to clause 4.8.2 (f) of ZS 385 Part 5. Further, the enterprise was fined for retailing petroleum products at an old pump price on 1st April, 2023 contrary to clause 3.6.4 of their licence to Retail Petroleum products.”
“In addition, Puma Energy Zambia PLC, RUBiS Energy Zambia Limited and Oasis Oil Energy Zambia Limited were all fined K30, 000 each for dispensing fuel in a Public Service Vehicle with passengers on board on 1st April 2023 contrary to ZS 385 Part 5-Clause 4.8.2 (f), whilst Total Energy Marketing Zambia Limited was levied K30, 000 for Dispensing fuel in an unauthorised plastic drum on 1st April 2023.” She explained.
Kasumpa said the penalties were imposed on the erring licensees following enforcement hearings, at which the licensees were given an opportunity to be heard. “However, the ERB subsequently found the above named five (5) licensees wanting and undertook enforcement action against the enterprises.”
The ERB has since DIRECTED all licensed companies operating in the energy sector to ensure that they familiarise themselves with their licence conditions as well as set standards in order to ensure that they are compliant at all times.
Furthermore, members of the public have been urged to continue reporting any identified anomalies relating to the provision of energy products and services by any licensee, to the ERB.
