Malawi Energy Regulatory Authority (Mera) says it is cautiously watching and observing the global oil market to ensure continued security of fuel supply and where possible cushion local pump prices.
In a published statement, Mera said currently there is a seamless flow of fuel into the country and they are monitoring all factors that affect fuel prices.
Reads the statement: “The country continues to enjoy healthy fuel stock levels and importers have adequate fuel stock balances with their international suppliers from all ports of Beira, Nacala [in Mozambique] and Dar es Salaam [in Tanzania].”
Mera further said since the establishment of the ruling pump prices in March, the landed costs of petrol, diesel and paraffin have increased by 23.51 percent, 16.03 percent and 16.37 percent respectively.
On the other hand, the Price Stabilisation Fund (PSF) balances for petrol, diesel and paraffin averaged K1.7 billion against the recommended minimum of K5 billion at the beginning of the month.
In an interview, Mera consumer affairs and public relations manager Fitina Khonje said for now Mera has maintained the pump prices and a review will consider all factors that determine pump prices, including the PSF level.
“The authority can and will only cushion consumers when and where possible,” she said.
Mera has since maintained prices for petrol, diesel and paraffin at K899.20 per litre, K898 per litre, K719.60 per litre respectively.
Consumers Association of Malawi executive director John Kapito in an interview on Friday observed that the pump prices are temporal due to rising global prices and depreciation of the kwacha against the dollar.