Namibia cuts fuel levies by 50 pct amid global oil price surge

Namibia has approved a 50 percent reduction in fuel levies for three months beginning in April to cushion consumers from rising global oil prices triggered by escalating geopolitical tensions in the Middle East, the Ministry of Industries, Mines and Energy said Friday.



Speaking at a media briefing in Windhoek, Minister of Mines and Energy Modestus Amutse said the measure is necessitated due to the high price volatility of petroleum products, which resulted from the ongoing geopolitical tensions in the Middle East.



"Therefore, to offer relief to fuel consumers at the pumps, the cabinet deliberated on the matter and resolved to intervene accordingly," Amutse said while announcing the country's April fuel price review.



According to Amutse, fuel pump prices will, however, increase from April 1 due to higher import costs. Petrol prices will increase by 2.50 Namibian dollars (about 0.15 U.S. dollars) per liter, while both diesel grades will increase by 4 Namibian dollars per liter.



The minister said the remaining under-recovery of approximately 500 million Namibian dollars will be absorbed by the National Energy Fund to limit the impact on consumers.