LIQUEFIED GAS PRICE NOT REGULATED

MBABANE - When prices are not regulated, it’s a sign of the fall in money value as more units of money should be given for purchasing the same commodity.

There is a need to regulate the price level of commodities to protect the weak and financially vulnerable sections of society from the rise in general prices. The price of liquefied gas in Eswatini is not regulated and this has resulted in local businesses charging their own prices. According to government, about 60 per cent of the population uses liquefied gas on a daily basis and this has created its demand. Business revenues in this sector are expanding exponentially as no law prohibits them from price regulation and competitiveness.

This has resulted in competitors hiking prices, affecting price stability of liquefied gas in the country, thus creating volatility prices among the traders.
Eswatini Energy Regulatory Authority (ESERA) said regulating the price of liquefied gas is a collaborative effort with the Ministry of Energy and Natural Resources.

Regulated

Teclar Maphosa, ESERA manager for consumers and stakeholders’ relations told the business desk that regulated prices of liquefied gas could be acquired from the Ministry of Energy And Natural Resources. “The regulated prices of liquefied gas can be acquired from the ministry as they are responsible for the process as well as its implementation,” she said. Maphosa added that ESERA had regulated prices of petroleum and electricity, which was also acquired through the collaborative effort from ESERA and the said ministry.

Ministry of Energy and Natural Resources communications Officer Sikelela Khoza said the price was not regulated but the services are accounted for. He said the service delivery aspect of the commodity took priority stance because, if not accounted for, life and property damages might escalate rapidly. “The price of liquefied gas is not regulated but the service delivery is, we need to make sure that whosoever is involved in this trade are safe as well as the customers,” he said.

The communications officer added that the regulation of the price was currently a task that the energy department in the ministry was working on with the assistance of ESERA. The incomplete task of price regulation has resulted to traders charging their own prices, which differ per outlet.

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