By Wezzie Gausi, Benadetta Chiwanda Mia & Kelly Napolo:
The Petroleum Importers Limited (PIL) has indicated that the country has fuel supplies sufficient for only two days, according to the Parliamentary Committee on Natural Resources and Climate Change.
PIL informed the lawmakers that the country had enough petrol for just one day, while diesel supplies would last for two days.
After meeting with PIL officials in Mponela Monday, the committee’s chairperson, Werani Chilenga, said that PIL had already notified the Minister of Energy about the situation last Thursday.
Chilenga mentioned that one contributing factor to the shortages is the lack of foreign exchange in the country.
“The banks are unable to issue letters of credit for fuel imports due to the forex shortage. Currently, the Malawi Energy Regulatory Authority (Mera) owes PIL K5.6 billion for under-recoveries.
“Even if PIL begins processing fuel imports today, it would still take nearly two weeks for supplies to normalise in the country. We are in a crisis that requires urgent solutions,” Chilenga said.
PIL General Manager Martin Msimuko declined to comment after the meeting with the committee.
Meanwhile, the lawmakers have underscored the need to increase fuel prices, as PIL reported significant losses under the current pricing structure.
PIL indicated to the committee that they expect to procure six million litres of fuel using $7 million that banks have pledged to them.
In Blantyre, a spot check by The Daily Times Monday revealed a fuel scarcity, with several filling stations running out of petrol. This led to panic buying, resulting in long queues at stations that still had supplies.
Shortages were reported at several filling stations. In contrast, areas such as Mzuzu in the north, Lilongwe in the central region and Mangochi in the east reported a steady fuel supply.
Mera spokesperson Fitina Khonje acknowledged the fuel supply shortages in certain areas but assured that the authority is managing the situation.
She said Malawi currently has an adequate fuel supply and cautioned against panic buying, which could exacerbate the problem.
“Panic buying creates challenges, especially given the current forex shortage,” Khonje explained.
She added that the supply issues are primarily driven by forex shortages and substantial unpaid arrears to fuel suppliers, which currently total over K800 billion.
Joseph Pemba, a motorist in Blantyre, expressed concern about the fuel scarcity’s impact on daily life and business operations.
In September, Malawi received a delivery of 1.2 million litres of diesel from Beira via rail to help alleviate the pressure.
According to Mera figures, Malawi’s monthly fuel consumption averages 50 million litres, amounting to an annual requirement of 600 million litres.
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