Zimbabwe has taken another major step toward improving its investment climate after Cabinet approved a comprehensive review of licences, permits, levies, and fees in the energy sector.
The reforms are part of the broader ease-of-doing-business measures adopted through a Cabinet decision, of 29 July 2025, which targeted twelve key sectors of the economy for regulatory overhaul.
Speaking during a post-Cabinet media briefing, this Tuesday, in Harare, Minister of Information, Publicity and Broadcasting Services, Dr Jenfan Muswere, said the adjustments were designed to stimulate growth and strengthen competitiveness in the energy industry.
“The review process is aimed at reducing the cost of doing business, increasing competitiveness, and enhancing the growth of the Zimbabwean economy. The review followed extensive stakeholder consultations under the Whole-of-Government and Society Approach, involving ministries, departments, agencies, and players across the electricity, petroleum, and liquefied petroleum gas (LPG) sectors,” he stated.
Dr Muswere highlighted that the reforms reflect a broad input from all the energy sector stakeholders and are intended to remove barriers that have constrained investment.
“The changes target several subsectors, including electricity generation, transmission, and distribution. Petroleum importation, wholesale, and retail as well as LPG importation, wholesale, and retail. Among the most notable adjustments, the Zimbabwe Energy Regulatory Authority (ZERA) licence application fee has been reduced from US$2 500 to US$2 000. In a significant move meant to promote renewable energy uptake, the ZERA Solar Generation Licence fee of US$2 875 has been removed entirely.
“Other reductions include, petroleum Import Licence cut by 50% from US$30 000, fuel retailing licence in rural areas reduced from US$200 to US$150 and LPG retail licence slashed by 50% from US$230,” he explained.
These changes are expected to unlock private-sector participation and shift the burden of energy investment away from Government.
“Investment in the energy sector has largely been driven by Government, and this model has become unsustainable given limited fiscal space,” Dr Muswere noted.
The reviewed fees will undergo final refinements before being formally gazetted, once ministries complete the required administrative and legislative adjustments.
With these reforms, Zimbabwe aims to create a more attractive, predictable, and affordable regulatory environment one that supports expansion of electricity access, increased fuel availability, and broader energy security.
