The Zambian energy regulator, the Energy Regulation Board (ERB), has taken enforcement action against two energy operators, Taam Zambia Limited and Vivo Energy Zambia, for failing to comply with the Energy Regulation Act and violating licence terms.
The ERB has fined Taam Zambia Limited a sum of ZMW60,000 (about USD 2,308*) for operating without a valid license, contrary to Section 10 of the Energy Regulation Act No. 12 of 2019. According to the ERB, the breach by Taam undermines the regulatory framework.
This is a serious offence that undermines the regulatory framework, which is essential for maintaining safety, quality, and accountability within the energy sector.
Energy Regulation Board
The ERB has also reprimanded Vivo Energy Zambia, a part of the Vivo Energy Group, for breaching license conditions. Clause 7 of Zambian Standard 385 requires all licensees to have a well-documented complaint-handling mechanism in place, which the energy regulator describes as a critical license requirement that protects consumers by addressing disputes fairly and transparently.
The ERB’s enforcement actions underscore its commitment to supporting a sustainable and responsible energy sector that protects consumers and promotes fair competition.
Zambia’s overall petroleum requirements are met through imports because the country has no confirmed crude oil reserves. There are 18 oil marketing companies (OMCs) that distribute and sell petroleum products.
The downstream is made up of various fuel transporters and dealers contracted by OMCs to transport fuel by road from the fuel terminal and operate service stations, respectively. The ERB also regulates wholesale petroleum prices due to the monopolistic nature of the industry.
*USD1 equals ZMW26 [25 Apr, 11:20 am UTC]·
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