The Minister of Energy and Mines of Zambia in Africa has set a mandate for ethanol blend to fuels in the country, this Monday August 05. This is another step that the African government gives, after cutting the fuel subsidy few months ago.
Sources close to the African government revealed that there was a trading ethanol imports scheme between Zambia and Zimbabwe for some time, using the money saved from the subsidy cuts.
It is estimated that millions were spent on fuel subsidies in the country in 2012, which corresponds to the major part of what should have gone to health and education in Zambia, so cutting the subsidies would be justified if it had been intended to the right place.
But analysts go deeper and say that the error does not end there. Instead of developing its own ethanol plant, which would be more consistent, the government decided to import from Zimbabwe, as an alternative way to mitigate the consequent high prices of fuel and energy after cutting.