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Government engaging fuel companies on price stabilization

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Home RELIGION

Government engaging fuel companies on price stabilization

Admin by Admin
July 22, 2022
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Government engaging fuel companies on price stabilization

Current fuel prices at Shell fuel station at Ben Kiwanuka road in Kampala . Photo By Leonard Kamugisha Akida | Parrots UG

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By Tracy Acen Oiko

NATIONAL

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Since the beginning of this year, fuel prices have been drastically escalating. Due to this, Uganda’s economy has been negatively affected.

Despite the calls to government by Ugandans to provide a subsidy system on petroleum to stabilise the prices, Dr. Chris Baryomunsi, the minister of ICT and National Guidance, insists that subsidies will not stabilise fuel prices

“In countries where they have tried to put subsidies and cut taxes, the prices have not substantially calm down,” he compared.

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According Baryomunsi, there is a need to do more than just subsidies and reduction on taxes for prices of fuel to calm down.

He says that government is working on the law to announce a threshold beyond which fuel prices should not go, stating that other factors that dictate the fluctuation must be considered.

“Government is as well engaging fuel companies in the country and also sister neighbouring countries where fuel passes to enter Uganda to solve the issue of escalating fuel prices in the country.” Baryomunsi explained

He was on Friday addressing journalists at media centre in Kampala whereby he  urged Ugandans to keep calm as government works on solving the issue arguing that fuel prices are temporary and that its a global effect.

Tags: Baryomunsiglobal fuel marketShell oil companyStablizing fuel pricessubsidies on fuel

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