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EWURA gets more legal powers soon
2007-08-13 08:59:13
By Pascal Shao, Dodoma
A draft Finance Bill intended to give powers to the Energy and Water Utilities Regulatory Authority (EWURA) to intervene in energy prices is largely expected to be endorsed by Parliament today.
Section 11 of the bill proposes an amendment to the law governing EWURA so as to give it powers to control fuel and gas prices.
Reading the draft bill for the second time in Parliament on Friday, Finance Minister Zakia Meghji said the proposed Bill had taken into account the views of the Parliamentary Committee for Finance and Economy, which recommended that the law be amended to give the body more teeth.
The minister said the government also welcomed proposals from the public to perfect the law.
Meghji said that section 7(1) (d) of the Act had shortcomings because it gave the authority powers to supervise, coordinate and regulate distribution of the items only but did not give it the means to supervise prices.
She said the Bill also proposed increasing the fine for people or companies that would violate regulations from the current 300,000/- to 3m/-.
She said the changes were intended to protect fuel and gas consumers from rampant hiking of energy prices by unscrupulous traders.
Formerly, EWURA had no biting teeth to intervene in the fuel and natural gas prices but was empowered to ensure the quality and distribution of fuel and natural gas.
According to the minister, the views of a number of stakeholders have been taken into account, namely the Attorney General, business community, financial and private sectors and some members the public.
Prices of oil went up on July 1 after the government increased tax on petroleum products.
A litre of petrol is now sold at 1480/- while diesel is sold at 1380/- and kerosene is sold at 900/-.
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