Business, Lifestyle, Malawi

EGENCO distances itself from being ESCOM units syndicate scandal

Maravi Post Reporter

By Thandie Chadzandiyani

LILONGWE-(MaraviPost)-Electricity Generation Company (EGENCO) has distanced itself from the information that the electricity supplier loses billions of Kwachas on electricity units which are given to EGENCO employees, claims made by Electricity Supply Corporation of Malawi (ESCOM)

Chief Executive Officer for ESCOM, Kamkwamba Kumwenda, just recently reported that a syndicate involving ESCOM and EGENCO employees has defrauded the company about MK60 billion worth of pre-paid meter since 2018

He said some ESCOM and EGENCO employees have all these years been selling prepaid units, which are part of their benefits to companies and individuals in the country through parallel structures.

Public notice dated March 30, 2022, EGENCO has dispelled the claims by ESCOM claiming all the prepaid units which are given to their members of staff, are paid for on a monthly basis.

“The Electricity Generation Company (Malawi) Limited (EGENCO) has noted with great concern allegations published online and broadcast in some media houses that Electricity Supply Corporation of Malawi (ESCOM) is losing billions of Kwachas in a syndicate that involves ESCOM and EGENCO employees by reselling their allocated electricity units.

“EGENCO would like to however state that the electricity units tokens that are given to its employees are paid for by the company. In other words, EGENCO buys electricity units from ESCOM to give to its employees. Therefore, the question of loss of revenue from these fully and duly paid for units, does not arise,” reads part of the notice.

Further the notice says much as EGENCO does not condone any abuse of benefits to its employees, ESCOM should talk of revenue loss on electricity units given to their employees claiming they pays for the units in cash.

“ESCOM is paid in cash every month for the electricity that EGENCO and it’s employees use. ESCOM should therefore talk of revenue loss on electricity units given to their employees,” reads another part of the statement.

However EGENCO will conduct investigations on the allegations and has since encouraged stakeholders to contact the company for clarification on the matter