Green Fuel denies corruption allegations
ETHANOL producer Green Fuel Private Limited dismissed recent allegations by suspended Zanu PF secretary for the commissariat Godfrey Tsenengamu that the company was engaged in corrupt and unethical business practices to obtain a monopoly in ethanol blending.
Tsenengamu, together with former deputy secretary of Zanu PF youth league Lewis Matutu, accused Billy Rautenbach, owner of the company as well as Tafadzwa Musarara (Grain Millers Association of Zimbabwe chairperson) and Kudakwashe Tagwirei (Sakunda Holdings) of leading cartels that are bleeding the country.
In a statement, the ethanol producing company said the allegations of monopoly were false and defamatory as ethanol licences and prices in the country are produced by the Zimbabwe Energy Regulatory Authority (Zera).
“Green Fuel does not have a monopoly in ethanol production or blending. It is common knowledge that any entity who meets the necessary statutory requirements detailed within the Petroleum (Mandatory Blending of Anhydrous Ethanol with Unleaded Petrol) Regulations, 2013, can apply and obtain a licence for the purpose of supplying ethanol for mandatory blending.
“To this effect, it is a well-known fact that a joint venture established between Triangle Limited and the National Oil Infrastructural Company (Noic) has also been supplying ethanol for mandatory blending purposes since 2017,” reads the statement.
The company claimed that its ethanol price has at all times remained significantly cheaper than the petrol pump price, dismissing the accusations that its sells at a steeper premium.
“As a consequence, when blended with petrol, it actually brings the petrol pump price down, translating into consumer savings. The use of ethanol, being a substitute for imported petrol, also results in foreign currency savings at a national level. This saved foreign currency can then be used for other critical imported products such as fertiliser, electricity, maize etc.
“In addition to reducing the petrol pump price and saving foreign currency, Green Fuel’s project has also contributed to the nation’s socio-economic development through the creation of thousands of jobs, local skills development, renewable power generation, improving the availability of petrol, reduction of greenhouse gas emissions and rural and community development through the company’s extensive corporate social responsibility programme,” the company said.