After a slump in fuel pump prices as a result of slowing down of commerce and industry across the globe due to COVID-19 last year, demand is now picking up necessitating a collerating spike in fuel prices. As a result, the Malawi Energy Regulatory Authority (MERA) has announced an increase in fuel pump prices effective tomorrow, Tuesday 9 March 2021.
MERA Consumer Affairs and PR Manager Fitina Khonje has made the announcement today during a press briefing that was held in Lilongwe.
Khonje said Petrol has increased from K834.60 to K899.20 representing an increase of 7.74 percent; Diesel from K826.40 to K898.00 representing 8.66 percent and paraffin from K613.20 to K719.60 representing 17.35 percent and Gas from K1,880 to K1,952 representing 3.83%.
Khonje said the increase comes following the rise in prices on the international market and depreciation of Kwacha.
She added that they had to increase because if the prices do not match the procurement price, Malawi might not be able to procure adequate fuel supplies.
We have the price stabilization fund but it can be used when it can be able to absorb the costs and that cannot happen every time since the funds are not available in some situations, and this time, the fund cannot be able to help us contain the prices.”
MERA last increased the fuel prices in December last year due to the same reasons.