Tag Archives: Joseph Bvumbwe

Malawi

Sigh of relief: MERA maintains oil pump prices amid global downturn

Maravi Post correspondent

 

Gas Station in Malawi
Fuel prices maintained

BLANTYRE-(MaraviPost) – The country’s motorists will not need to dig deeper in their pockets. This follows the Malawi Energy Regulatory Authority’s (MERA) decision to retain the country’s current fuel prices, despite global pump increases.

This should make malawi motorists expel a sigh of relief ahead of the four-day Easter holiday, that starts with the Christian commemorations of Good Friday, culminate with Easter on Sunday, and Easter Monday.

This the whole week motorists will have double celebrations with their pockets being kept on check, as goods and services will not go up.

MERA has therefore, upheld the pump prices of petrol at MK824.70 per litre, MK815.80 per litre for diesel, and paraffin at MK648.70 per litre.

In a press statement released on Monday, and made available to The Maravi Post, signed by MERA board chairperson Reverend Joseph Bvumbwe, informs that the average Free On Board (FOB) prices of all fuels, increased when compared to the average obtained in October 2016.

The development has therefore, been used to determine the current fuel prices that saw petrol, diesel and paraffin increasing by 1.21 percent, 2.64% and 1.32% respectively, in the month of March 2017 when compared to FOB prices obtained in October last year.

MERA said it assessed the combined effect of the movement of the FOB prices, and the exchange rate of the Malawi kwacha to the US dollar, as well as changes in local factors that determine the maximum pump prices.

“This must be noted that the landed cost of petrol, diesel, and paraffin increased by 4.10%, 8.50% and 9.45% respectively. The changes in the landed costs qualified all fuel for an upward pump price adjustment.

“The MERA board considered the accumulated Price Stabilization Fund (PSF) balance in April 2017, and has therefore resolved to maintain fuel pump prices by covering in full the In Bond Landed Cost (IBLC) increases through use of the PSF. Fuel operators, are therefore required to sell petroleum products at prices not exceeding these maximum pump prices,” reads the MERA statement.