CORRECTED - Zambia's regulations delay USD 500m ethanol project - report

May 6, 2014 - Zambia's regulations are stalling an investment of USD 500 million (EUR 359m) in an ethanol production facility in Luapula, the province’s permanent secretary Chanda Kasolo told the Zambia Daily Mail on Sunday.

An unnamed Zimbabwean investor is waiting for Zambia’s ministry of energy and water development to approve the blending of ethanol with petrol for use as fuel for vehicles. Kasolo is currently lobbying the ministry to do so, he said in an interview with the daily.

The Zimbabwean investor wants to pour money into a sugar plantation at the Luena Farm block in Kawambwa and build an ethanol plant in the same area. According to Kasolo, Zambia could save a lot of money by allowing the use of ethanol blended with petrol. This would also cut the prices of petroleum products, he noted.

(USD 1.0 = EUR 0.719)

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