Malawian motorists will have to cough deeper in their pockets following the fuel prices increase last night May 8, 2015 by Malawi Energy Regulation Authority (MERA). This follows world trends which have seen a slight uptick to crude oil prices.
In a press statement available to the Maravi Post signed by Dingiswayo Jere, MERA’s Board Chairperson, indicates that petrol is traded at MK723.60 from MK696.30 representing a 3.92% hike. Diesel has gone up from MK705 to MK34.60 representing 4.12% while paraffin is now at MK633.20 from MK60.30 representing 3.92% hike.
MERA’s statement said the hike was due to an increase in the same on the world market as well as the stabilizing of the local currency.
“MERA considered recent trends in the world petroleum products’ prices and changes in other macroeconomic foundations in the local market and their impact on energy prices. The average Free On board (FOB) prices for Liquefied Petrolium Gas (LPG) increased by 33.51% from MK302.34/kg as noted in February 1015 and MK493.64/kg in the month of April 2015.
“Since the last review of the In Bond landed Cost (IBLC) of LPG on 4th March 2015, the Malawi Kwacha has marginally appreciated against the South African Rand from MK39.39/ZAR to MK38.77 representing a 1.57% gain in value. Therefore, following both assessment of LPG FOB prices and exchange rate of Malawi Kwacha against the South Africa Rand, MERA resolved to revise upwards the retail prices of LPG effective 7th May, 2015”, reads MERA’s statement.
However, MERA has advised motor vehicle operators to sell petroleum products at a price not exceeding the recommended maximum retail prices.
Malawians for the past months have enjoyed two fuel prices reduction following prices the same reduction on global market and appreciation of the Kwacha
