CSOs Drop ESCOM Court Battle as Creck Hardware Lands K12.24bn Transformer Deal
Civil society organisations under the banners of the Human Rights Consultative Committee (HRCC) and the Malawi Civil Society-Led Black Economic Empowerment Movement (MaBLEM) have withdrawn their planned court action over alleged political interference in the procurement of transformers by the Electricity Supply Corporation of Malawi (ESCOM).
The decision comes just hours after ESCOM reversed its earlier procurement position and issued a fresh Notice of Intention to Award Contracts, proposing to award a K12.24 billion contract for the supply of 33KV distribution transformers to Creck Hardware and General Suppliers.
Speaking on Thursday, HRCC and MaBLEM National Coordinator Fryson Chodzi welcomed what he described as President Peter Mutharika’s commitment to allowing public institutions to operate independently without political interference.
“Our intention to go to court was never about stopping any particular company from winning a contract,” Chodzi said. “It was about ensuring that procurement processes are conducted in accordance with the law and free from political interference.”
“Now that the government has allowed the lawful procurement process to proceed without interference, we no longer see the need to continue with the legal action.”
Chodzi stressed that parastatals should be allowed to make procurement decisions independently to ensure efficiency, transparency and quality service delivery.
He also dismissed claims that it is unlawful for one company to be awarded multiple government contracts.
“The assertion that awarding two contracts to one company is illegal is misleading and has no legal basis. Many companies have previously been awarded multiple contracts, provided the procurement process complied with the law,” he said.
He cited construction firm Mota-Engil as an example of a company that has successfully executed several government contracts over the years.
“The focus should be on whether a company meets the procurement requirements, not on who owns it. If a Malawian company qualifies fairly, it deserves the opportunity. Political interference only undermines the professionalism of government institutions and ultimately affects service delivery,” Chodzi added.
According to ESCOM’s public notice published Thursday, interested parties have until July 14, 2026, to raise any objections or queries regarding the proposed award of the K12.24 billion transformer supply contract to Creck Hardware and General Suppliers.
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