Govt. backed for selling shares in Indeni Oil

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The Private Sector Development Association (PSDA) says it backs government’s decision to sell 49 percent shares of Indeni Oil Refinery in Ndola.



Association Chairperson Yusuf Dodia says the move by government to sell the 49 percent shares in the Oil refinery  to a private investor will help stabilize fuel prices in the country.



ZANIS Business reports that Mr. Dodia said  this in an exclusive interview in Lusaka, today.



“ The decision was a positive move as it will allow for an opportunity for more capital investment into the company and bring consistency in the operation of the company, “ he said.



Mr. Dodia said the private investor will also boost funding and improve efficiency as company will run as a commercial entity.




The PSDA chairperson said the decision will also create a stable business environment in the oil refinery company which will in turn influence a downward adjustment in fuel prices.




He said Indeni which until 2009 was being run by the private sector had maintained both the flow and pump price of petroleum products in the country despite external factors in the region.




Mr. Dodia also lauded government for the move, adding that the coming in of a private investor will ensure maintenance and reduce government’s operational costs of the company.




Recently, Mines, Energy and Water Development Minister, Christopher Yaluma announced government’s approval of the sale of 49 per cent shares in Indeni Oil Refinery.




Mr. Yaluma said the move would help boost funding and find ways of building a new refinery urgently.