Malawi Energy Regulatory Authority (Mera) yesterday maintained pump prices of fuel following recent trends in the global petroleum products’ prices and changes in other macroeconomic fundamentals in the local market and their impact on energy prices.
The body also maintained the prices last month in a move which was seen as a means to cushion the impact of the revised road freight rates that had impacted on the landed cost of the product.
In a statement issued on Thursday, Mera board vice-chairperson Felisah Kilembe said since the last review of the In Bond Landed Cost (IBLC) of petroleum products in March 2016 the Malawi kwacha had appreciated by 7.64 percent against the United States dollar trading at K693.50/dollar from K750.85/dollar.
“Mera Board has resolved to cushion the increase in the landed costs of the three products through price stabilisation fund. Pump prices have therefore been maintained as implemented on 4th March, 2016,” reads the statement.
This means that the prices will remain at K743.30, K722.80 and K580.40 per litre for petrol, diesel and paraffin respectively.
The Ministry of Natural Resources, Energy and Mining said earlier Malawi is expected to benefit from the tumbling global fuel price in 2016 as the situation will likely result into the reduction in local pump price.