Malawi should reduce fuel prices – Consumer watchdog

The Consumer Association of Malawi (CAMA) on Thursday accused the Malawi Energy Regulatory Authority (MERA) for delay in reducing prices of fuel in response to the continued fuel prices on the International market as well as appreciation of the local currency (the Kwacha).

Kapito:  Pump prices should be slashed

Kapito: Pump prices should be slashed

CAMA Executive Director John Kapito said Thursday said the authority has failed to implement the Automatic Pricing Mechanism (APM) as early as November last year.

“Malawi through MERA were supposed to reduce the pump price in November because Petroleum prices worldwide have been going down since October and recently it is our local Kwacha which is appreciating but nothing has come up from MERA,” he said.

But MERA Executive Officer, Ellias Hausi, said the authority is powerless to make decisions in absence of the board.

“Consumers in the country have to wait from government to appoint the board for them to start benefiting from the pump price reduction,” he said.

Under APM once the threshold has reached 5 per cent minus or plus, to the disadvantage of the consumer prices automatically go up while to the advantage, the prices go up on the pump.

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46 thoughts on “Malawi should reduce fuel prices – Consumer watchdog”

  1. Rift Valley says:

    What is meant by AUTOMATIC? My understanding is ‘that which trigers action by itself’. So, what do we need board for?

    1. Gule says:

      in APM when there is a trigger someone has to take action. the law says the board not anybody else.

  2. Mabungwe says:

    fuel prices are down and there are no comments? fuel was inreased early november before term of boarf expired on 20 nov. from 21 to 9 jan there wad no board at mera.

    1. Gule says:

      Apa ndiye walongosola.

  3. Kenkkk says:

    Please forgive this man, William for he doesn’t know what he is doing or talking about!!!

    Kwacha appreciation or depreciation has nothing to do with the reduction or increase in fuel prices.

    Fuel prices have to come down simply because crude oil prices all over the world have tumbled down.

    Mera’s response is completely disgraceful and patronising to the people of Malawi. So we have two boards, one for price increases and the other for price reduction? And the price reduction board hasn’t yet been appointed? What a stupid and foolish explanation, mera!!!

    It just shows the kwacha appreciation is very dodgy. Reducing the fuel prices will strengthen the kwacha more and this govt should be happy because it wants a strong appreciating kwacha. So why are you not reducing fuel prices?

  4. estone says:

    Reduce the price of fuel please

  5. tigone says:

    fact Mr Kapito

  6. akumeakume says:

    This MERA BOSS IS LYING. DO WE NEED BOARD MEMBERS ONLY WHEN REDUCING THE FUEL PRICE. WHO AUTHORISED THEM WHEN THE FUEL PRICE WAS INCREASED WAS THE BOARD THERE?MR BOSS PLEASE DON’T CHEAT US.UKUDZIWAPO KANTHU. TELL US. YOU ARE SO FASTER WHEN IMPLEMENTING INCREASED FUEL PRICES AND VERY RIGID WHEN IT COMES TO REDUCTION OF THE PRICE KUBA BASI

  7. Big Man wankulu says:

    I totally agree. There are many variables at this point in time that support this call for action by Mr. Kapito. Although Mr. Kapito acts like a madman and controversial, sometimes he is very correct and rational. He is very right this time around. international prices continue to dip for sometime now and Kwacha slightly appreciated to the dollar. These two variable factors determine fuel prices everywhere in the world.

  8. MBACHI says:

    MERA and DPP you are stealing from us, fuel prices has gone down but you do not want to reduce the pump prices. People are suffering out here. APM are you a christian or satanic faith? Please listen to the crying of the people.

  9. Babalu says:

    Za mkhutu!!!!!!!

  10. Mafumu says:

    I think William Makwama (No. 1 commentor) you are confused. What CAMA AND Mr. Kapito are saying is the MWK is appreciating against the major foreign currencies and the global fuel prices have gone down significantly. These gains are good for the Malawian, why do we say they are good, it’s because the benefits will trickle down to all Malawians through reduction in consumer prices for items like fuel and other imports. If MERA does not reduce the prices of fuel then who is benefiting from these gains? We need to start enjoying the benefits of these economic gains.

    And a simple question to MERA CEO, if you say you cannot act if you do not have a board, are you sure you cannot raise the prices if the global fuel prices go up beyond the set 5%? Who are you trying to fool, just reduce the prices as per the Automatic Pricing Mechanism, zimakoma pokweza, potsitsa zayamba kuvuta bwanji? Anthu akuba inu……

    1. Ndithu chisakomele mbuzi pogunda galu,pokweza mutengo amabusines amasangalala,bwanji zikuwabvuta kusisa mutengowo?

  11. Magongwe says:

    AKADAKHALA BINGU

  12. fathi slshehaab says:

    yes fuel prices hav gone down world marjet where ee buy tru usd…
    infact for your info auto pfice mechanisn shud meet monthly u nean sinse the rise 3months ago sanakumaepo chifukwa mafuta akutduja.yes the reduction shud be big…inunso a fuel cis kuba u want ti nake profits above 30oct nargin….dont tell us about geolocation we bren same placr padt 2000yrs… A mrambo revise afenda ya na demo to unclude fuel !! sugar…etc

  13. chiwaka says:

    A William musaonetse umbuli tawelengani nkhani mkuimvetsa before commenting.Walakwanji Kapito.Mkalasi mmakhoza inu??? Ndakaika

  14. Hebrews says:

    Kukanakhala kukweza mtengo wa mafuta mukanati Automatic fuel Pricing koma poti ndi kutsitsa ndiye mukuti kulibe Board?? Kodi Automatic yasintha tanthauzo? Going up takes just hours but reducing prices its taking ages?? AUTOMATIC, AUTOMATIC = AUTOMATIC Npw stop cheating Malawians that it is Automatic. We have learnt now that going down is Manual while going up is Automatic.

  15. Sagwa says:

    Kawirikawiri akamakhuta zoti kuli njala umamva anthu pena osamva nkomwe

  16. Danny says:

    The kwacha is gaining coz of the secret loan from Mota Engil asakudziwa ndani .Muziwaputsitsa enawo ife ayi .shame on you lizards from Simongoliya!

  17. Khuni says:

    John Kapito! John Kapito! John Kapito! How many times did I call you? I just wanted to say “You are the man; this country needs folks like you”! Have a Happy and a long Good Morning of 2015!

  18. KASIYAMALIRO says:

    Williamu, nkhani ndi itiyo kwa a Kapito? Kodi ndi ntchito yao kuuza a Malawi kuti Kwacha ikuchita appreciate? That is a misplaced observation in my opinion. Zimene achitazi ndiye ntchito yao. Iwotu ndi a CAMA.
    Thanks, Wisely for the information. I tend to believe you. Paja Mota Engil ndi Boma la DPP ndi khethekhethe. Kodi za Nsanje–SHIRE -ZAMBEZI waterway ziyamba liti? It was interesting how Rodrigo, the Mota-Engil CEO revealed the other day that no public funds ever were spent on the much tauted Nsanje Port then, and that it was MOTA ENGIL’s Investment. We mostly know only partial facts.
    Thanks Willliam and Wisely.

  19. Kwangwagwa says:

    You fools, does Automatic Fuel Pricing need the board really? Can you explain what it means by automatic?

  20. Man Mphi says:

    Bwana William Makwana, is that not what Nr. Kapito is saying? Please read before commenting. The price of fuel must go down in line with what is happening on the world market. If the price of fuel goes up today will MERA wait for the board to increase fuel prices?

  21. concerned says:

    This is a real reason to hold demonstration. If we had real CSO in the country they could have mobilized Malawian to force govt appoint the board and reduce the pump prices.

  22. Hu Jintao says:

    Malawians are heavily oppressed by their own leaders. The prices of commodities are very high compared to most of the economies around the world. This to a greater extent stifles development.

    In the USA the fuel price per litre averages $0.45 which is MK230.00. In fact, in some towns of states like Texas, the cost per gallon (5.2 litres) is $1.95. It means even a tourist who would want to come to Malawi, hire a car and put in their own fuel would think twice before making Malawi their destination.

    Dyela ili lingathe ngati pali kugawana mphamvu pakati pa boma ndi ma councils (devolution).

    For those of us living closer to the borders of Zambia or Tanzania, in Mchinji, Mzimba or Karonga, you will often hear the stories of police falling in conflict with vendors selling fuel on black market. Why? Fuel is cheap in our neighbours’ land. In Zambia, the cost is MK340.00 per litre and Zambia is land locked as Malawi.

  23. yuona says:

    My man John. You always fight a good fight. Tiye naoni ife tilimbuyomo!

  24. KINGSOLOMONS PALACE says:

    TO RAISE PRICE U DO NOT NEED BOARD.BUT TO REDUCE THE SAME THATS WHEN U NEED BOARD?

  25. Kayendera Justin says:

    A William Makwama (comment 1), I doubt if you went to school because I can hardly believe that what CAMA ED has said is minus the appreciation of the Kwacha you are insinuating. Read again because in both two first paragraphs, he has mentioned about the appreciation of the local currency (although from a personal perspective it is a cosmetic appreciation!!!).

  26. KINGSOLOMONS PALACE says:

    WHY MOTA ENGIL BEING MENTIONED AS SOURCE OF FOREX LOAN.IF THIS IS TRUE,WE MAY SAY MOTA ENGIL HAS MONEY COZ ALL MAJOR ROADS FUNDED BY TAX PAYER MONEY,AFRICA DEV BANK,WORLD BANK etc HAVE BEEN GIVEN TO MOTA ENGIL BY THE CORRUPT DPP GOVT. OUR ENGINEERS REDUCED TO MEND POT HOLES AND DO MICROSCOPIC PROJECTS.CANT MALAWIAN ENGINEERS DO MAJOR ROADWORKS ?SHAME ON CORRUPT GVT.

  27. Njolinjo says:

    By the time the government appoints a new MERA board, prices will have started going up again.

  28. KINGSOLOMONS PALACE says:

    PROPHESY HAS COME TO PASS.THE OIL PRICES TO GO DOWN AS TOLD BY ONE OF THE MEN OF GOD.HE SAID THERE WOULD B MORE OF THE COMODITY.WHAT DO U DO WITH THE REST,DRINK IT?.THANKYOU PROPHET.SEEN IT GOD BLESS U MORE.HAPPYLHM

  29. Cashgate1 says:

    Izi ndiye zifukwa zenzeni za demo!

  30. aphiri says:

    Iweyo ankati even the kwacha is appreciating Wat does it mean. Mesa kapito wanena pamenepa. School yavutilapo eti.

  31. Patriot says:

    Ndinalota the coming back of fuel queues…kaya

  32. we didnt have Mera board but fuel pricrs were going up now its the opposite you want a board,what common sense is that? come up with the board lero lomwe we must benefit from the fall of the price of the black liquid to 48 dollars.wosankha boardyo anafa?

  33. Greencardless Malawian says:

    SO IT IS POSSIBLE TO INCREASE PRICES WITHOUT A BOARD BUT IT IS NOT POSSIBLE TO REDUCE WITHOUT ONE? WE DOBT JUST WANT A REDUCTION THIS TIME, WE WANT THEM TO BACK UP WHEN CALCULATING THE PERCENTAGE OF FUEL PRICE REDUCTION TO NOVEMBER OTHERWISE WE WILL GO TO THE STREETS AND DEMONSTRATE. STUPID GOVERNMENT THAT STEALS FROM ITS OWN PEOPLE IN BROAD DAY LIGHT!

  34. Dowa Boy says:

    MERA is a useless organization, when fuel prices go up on the international market, instantly, pump prices are raised but when it’s the opposite, there is always total silence. Reduce fuel prices now!!! or we will tell John Kapito to organize street demos k k k k k k k k k k k k k k k k k k k k k k!

  35. Wisely says:

    The dpp government have secretly taken unauthorised loan worth millions US dollar from Mota Engil as acover up that we have enough forex.Dont expect price reductions as government wants to benefit and payback the loan to Mota Engil through high fuel prices.Ask RBM for details.

    1. Mtupatupa says:

      Thanx for that infor, i was wondering what caused the Kwacha to appreciates? These are the same people who borrowed frm the banks to cover up that MRA was on target during Bingus time, shame!

  36. Israel2013 says:

    Prices should not be reduced only but they should be reduced big. I say so coz international market prices have gone down big (over 30% ). From 100 usd to now about 60usd. Not only a fall of international prices but kwa is appreaciating against dollar..

  37. ine says:

    Mukamakweza mafuta Board yake imakhala ina?why looking for board to decide now? Are you working without Board???

    I think in future Govt should consider subsidizing fuel. Kuyenda kukudula zosaneneka. Some basic items in Villages are sold at higher prices than their market prices akuti transport. E.g airtime K100 card can go as far as K120.

  38. timadziwa kale pano mafuta atatsika kale mitengo koma akulu akukunu mukudyela mommo.timakudziwani sindikutchulani maina

  39. timadza kale pano mafuta atatsika kale mitengo koma akulu akukunu mukudyela mommo.timakudziwani sindikutchulani maina

  40. Kkkkkkk Mr Kapito why don’t you tell malawian that malawi kwacha is gaining. Taziyamikani zina muzinena zoipa ndi ndizabwino kkkkk muziyamika wina akapanga zabwino nthawi zina osati kukhalira kususa kunena zoyipa

    1. check paragraph number 3 nawe kuuma mutu bwanji.?????wanena MPito zomwe ukufuna ayamikile namfuko wakoyozo.i have my reservations though,at this time of the year what has generated forex to such levels? mwinadi paja kukonda borrowing ya chinsinsi,i remember the 22 billion kwacha incident which was busted in patliament by Nnesa wa Mafunde.CROOKS and PSEUDOS

    2. Achimidzimidzi says:

      Kodi akati,’appreciation of local currency’ akutanthaza chiana? Mwina mutu mwanu muli ngati MERA ,kungwira ntchito opanda Board of Directors.
      And says, you have borrowed money to stabilize your kwacha. Cosmetic !!!¡!

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