Kapito accuses Malawi govt of running ‘corrupt genset diesel gravy train’

• Consumer watchdog blasts government’s diesel generator plan as ‘money generation for greedy officials’ amid fresh corruption fears
• CAMA accuses ministers of profiting from rented gensets as Malawians face soaring tariffs, fuel shortages and endless blackouts

The Consumers Association of Malawi has launched a scathing attack on government plans to rent diesel generators through EGENCO and Power Market Limited, branding the scheme a vehicle for siphoning public money rather than a genuine solution to the country’s electricity crisis.

‘Money generation for a few greedy people’

In a press statement signed by CAMA Executive Director John Kapito on 3 September 2026, the consumer body did not mince its words, declaring that the use of gensets amounts not to real power generation but “money generation for a few greedy people in Government who own the genset companies and those who have signed these contracts.”

CAMA warned that ordinary Malawians would be left footing the bill for expensive generators, scarce diesel, and hefty foreign exchange costs tied to fuel imports – all while blackouts continue unabated.

Fuel crisis makes plan ‘reckless’

Kapito reminded the government that Malawi is already grappling with serious fuel shortages and a chronic shortage of foreign exchange, questioning why authorities would push ahead with a system that has previously failed to ease blackouts and instead spawned one of the country’s most notorious corruption scandals.

The association pointed directly to past troubles involving both ESCOM and Aggreko, citing unaccounted metered output and allegations of inflated litres, hours and fuel prices – issues it says remain unresolved to this day.

‘Better spent on transformers and cables’

According to CAMA, the money earmarked for rented generators would be far better invested in transformers, cables and other infrastructure capable of genuinely improving electricity connections and supply for consumers.

The association went further, alleging that the very gensets being rented are owned by the same government officials who signed off on the contracts – and claimed the ultimate effect of the scheme is to economically harm the poor.

Consumers warned to brace for higher tariffs

CAMA cautioned that Malawians should expect ESCOM and EGENCO to blame fuel shortages and forex problems for ongoing outages, all while consumers are forced to pay higher tariffs to cover costs it described as unfair and exaggerated.

“Government through ESCOM and EGENCO cannot rent their way out of a structural problem and enter into long-term debt that will make Consumers pay the debt for the rest of their lives,” the statement warned.

The two utilities, CAMA added, were essentially “renting debt with no way out.”

Watchdog demands full transparency

CAMA is now demanding the immediate publication of all generator contracts, an immediate halt to any new rentals until clear value for money can be demonstrated, and full public disclosure of rates per megawatt, contract duration, and company ownership.

The association is further insisting that no new generator rentals should proceed until Parliament has had the opportunity to review the arrangements in full.

‘Refuse to fund corruption’

CAMA concluded its statement with a direct call to action, urging consumers to refuse to fund what it called corruption through higher tariffs.

It called on both EGENCO and ESCOM to instead focus on fixing the national grid, investing in proper infrastructure, and pursuing clean energy solutions – rather than continuing what it branded the “corrupt genset diesel gravy train.”

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