Ethanol Blending Saves Zim Millions: Mangudya

by Veneranda Langa (The Zimbabwe Daily) Reserve Bank of Zimbabwe governor John Mangudya on Thursday told Parliament that blending of ethanol with fuel has been saving the country millions of dollars.

Mangudya had appeared before the Joel Gabbuza-led Parliamentary Portfolio Committee on Energy, together with Energy minister Joram Gumbo, to speak on the fuel situation in the country when MPs asked him to explain if there was enough ethanol in the country to supplement fuel imports.

Last year, government increased the mandatory blending ratio of unleaded petrol from 15% ethanol to 20% following a significant improvement in the supply of ethanol from GreenFuel.

“Our fuel consumption patterns have been such that if we were to consume 50 million litres of fuel, we would mix it with ethanol and, therefore, make savings of about $10 million because we have 20% ethanol going into fuel,” Mangudya said.

“However, to allow for constant supplies, we are building additional storage tanks for supplies of sufficient ethanol so that we continue blending. We also have a flat blending rate where government buys extra stock of ethanol, and once we have improved the production it will assist us to ensure energy security in the country,” she (Energy ministry secretary Gloria Magombo) said.

Chipinge South MP Enock Porusingazi also blasted government for initiating jatropha projects and later failing to sustain them, to assist in fuel production. READ MORE