• Government considers raising ethanol mix in gasoline from 5% to 20%

• Policy aims to cut pump prices and reduce reliance on fuel imports

• High local ethanol costs remain a key challenge for the strategy

Zimbabwe’s government is exploring a plan to increase the share of ethanol in gasoline as it looks for ways to lower fuel prices on the domestic market.

Finance Minister Mthuli Ncube announced on March 25, following a cabinet meeting, that authorities are reviewing a proposal to raise the ethanol blend from the current 5% to as much as 20%. The move is intended to reduce prices at the pump.

Zimbabwe has enforced a mandatory blending policy since 2011, gradually incorporating bioethanol into fuel to curb dependence on imported petroleum products. The framework has evolved over time. In 2015, officials promoted a 15% blend, considered compatible with most vehicles in the country.

The current system adjusts blending requirements based on domestic ethanol production levels. Output is largely tied to sugarcane processing, with Green Fuel—the country’s main producer—manufacturing ethanol from locally grown sugar crops.

Despite these efforts, Zimbabwe remains heavily dependent on energy imports, according to a diagnostic report published by the African Development Bank in December 2025.

Cost remains a major constraint. As previously reported by Ecofin Agency, locally produced ethanol can sometimes be priced at roughly twice the level seen on international markets, pushing up overall fuel costs.

No timeline has been set for a potential increase in the blending rate. Ncube said the government is still reviewing the options and will announce any necessary fuel price adjustments in due course.

Abdel-Latif Boureima