Malawi MPs fear job cuts at Escom, support Electricity Bill to create new companies

Members of Parliament Tuesday vehemently supported the Electricity amendment Bill which seeks to allow more players in the power sector but asked government to ensure that there will be no job cuts at Electricity Supply Corporation of Malawi (Escom).

Msaka: Introduced the bill

Msaka: Tabled  the bill

The Bill once passed will also allow Escom, the country’s only power generating company to be solely responsible for buying, transporting and distribution of electricity power to the many parts of the country.

Furthermore, the Bill seek to give Escom the mandate to import and export electricity power to and from neighbouring countries.

Presenting the Bill in the House, Minister of Energy, Mining and Natural Resources, Bright Msaka, SC said for a country to register meaningful development, it must have reliable source of energy.

He said electricity power stimulates improvement in areas such as industry, mining and health among others.

Msaka said, “Lack of adequate power has been posing challenges to the development process of this nation. Without power, we cannot achieve our hope and inspirations. Therefore, we think Escom has done its best and it’s time to engage more players.”

According to Msaka, the new companies will be responsible only for the generation of power and sale to Escom.

Dowa East MP, Richard Chimwendo Banda said Malawians were duped in the contorversial  sale of Malawi Savings Bank to FDH Holdings where they wetre assured of no job losses but  later on saw people but retrenched.

Chimwendo Banda asked the Minister “to be sincere” and tell the nation that jobs will be safe .

He said most of the times when they pass bill in the House, the later see the rich rushing to Stock Exchange to buy shares and Malawians becoming losers.

“We should be doing things in the interest of Malawians,” he said.

Alex Major, Malawi Congress Party’s Spokes person on energy issues welcomed the development and called on the government to speed up the processes.

Major said the coming in of new companies will help to reduce power black outs that became a major hindrance to the country’s development process.

“We hope that power outrages will be the thing of the past,” he said.

People’s party spoke person, Welani Chilenga while welcoming the news asked government to discuss with the companies to offer lower tariffs and ensure that no one loses job at ESCOM as was the case with Malawi Savings Bank.

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7 thoughts on “Malawi MPs fear job cuts at Escom, support Electricity Bill to create new companies”

  1. Xander says:

    The bill indeed sounds good since it might induce competition n result in increasing power; how ever leaving entire generation of power in the hands of private sector is fatal strategy in terms of safeguarding consumer prices….I think it will be proper for Escom or similar newly established state company to continue generating power n compete with those new entrants….additionally price regulations n anti colluding legislations will be necessary, although its effectiveness depends on enforcement

  2. Chosadziwa says:

    Malawi is poor yes but need not to be guided by the donors, let the little energy we have develop itself by increasing step by step depending to our present economy. The examples we always get that China was once like Malawi but now is the second world largest economy but it was not dictated on what to do by the so called donors. What Malawi parliament has done basing on insuficient generating capacity will later spark to themselves after they will be mayor people. Instead of protecting the poor they have passed ESCOM bill which will hike the tarriff to the extent that the poor will not manage.

  3. Bwande says:

    Malawian MPs more concerned with job cuts than efficiency and output. That’s the more reason this country is backward. Politics of appeasement

    1. Bikitoni says:

      So you wouldn’t mind if you lost your job where you are working. Or you are mfiti za DPP zoti they don’t mind people losing jobs and joining the 80% that are already jobless and can not feed and educate their children

      1. Bwande says:

        If losing a job means improvements in efficiency then why should that be wrong? Should I be maintained just for the sake of my children yet I am not contributing anything? With all those currently employed by ESCOM, we still living in blackouts. If the new arrangement will entail dealing away with blackouts, then who cares whether someone will be fired! In fact for your own information, there will be more jobs created if for once we have some reliable electricity and if we have it everywhere even in the rural areas. The jobs you are concerned with are nothing but a few.

        And just to add, The 80% joblessness is a Malawian problem mainly because of culture, laziness and the like. Everyone wants to be a boss and earn big. You open a bar and you employ someone, they will steal from the sells. You venture into public transport, they will steal. You engage in sports, they will steal from the gate collections. Think of business, they will want it pangongole. Osaperekanso in the end. You try farming and produce something else, no one is willing to buy unless it’s maize. So you complain that 80% are jobless! Think again

        1. Perfomer CEO says:

          I agree 100% with Bwande. We are paying for the stupidity and incomptence that has been going on at ESCOM for so long. The can not reconnect in time or fix faults and put new meters but the workers expect a big salary and bonus at the end of the year. For what? They have a foolish sense of entitlments, I wish they could actually private ESCOM, let a results oriented CEO not second rate engineers from poly manage that institution. Workers should be given clear targets to meet per months. .i.e. new connections or meters to instal. If they do not meet targets, warn the head of department and net failue demote him and get someone who can perform. This foolishness needs to stop.

          1. Bwande says:

            Exactly

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