By Cindy Chitela
LILONGWE-(MaraviPost)-President Lazarus Chakwera has abolished open tender system in procuring fuel in a bid to end the crisis.
Chakwera therefore has ordered the National Oil Company of Malawi (NOCMA) to use Government to Government criteria as one way of ensuring sustainability of fuel across the country’s filling stations.
In his national address at Kamuzu Palace in Lilongwe, the President said the current depletion of forex reserves have affected the procurement of fuel creating fuel shortages.
“My administration has decided to begin the process of transitioning Malawi from the open tender system for procuring fuel to a Government to Government arrangements that will make our access to fuel more secure through better payment cycles,” he said.
Chakwera has since announced that he has instituted a committee tasked to process the transitioning the fuel procurement system.
The committee is chaired by Minister of Energy, Ibrahim Matola, others include Minister of Trade, Industry, Finance, Justice, Foreign Affairs, Secretary to the President and Cabinet, Attorney General, as well as MERA Chief Executive Officer.
The President has made a bold decision to move Malawi away from an Open Tender system of procuring and importing fuel to a Government to Government arrangement.
This is a sustainable approach that will stabilize the importation structures of the strategic commodity. Fuel queues will be history.
During the address, President Lazarus directed the ministry of finance to announce additional austerity measures in the midyear budget statement to be presented this week.
Chakwera said this will help save forex, which is in limited supply due to limited exports.
Malawi has been grappling with fuel shortages for the last six weeks.
