Muhara implicated in K57bn Escom gensets deal with Aggreko: ACB probes

Former chief secretary to government Lloyd Muhara, a judge at the High Court,  has beem implicated to have been the the kingpin of the procurement of the multi-billion kwacha generators contract at the Electricity Supply Corporation of Malawi (Escom) which were awarded to Aggreko in November 2017 dubiously.

Muhara at the centre of facilitating  Aggreko deal

The Anti-Corruption Bureau (ACB) has confirmed it is conducting investigation relating to the procurement of the K57 billion generators.

In August 2017, the Office of the Director of Public Procurement (ODPP) stopped Escom from awarding a contract to supply 78 megawatts (MW) diesel-powered generators to Aggreko Power Solutions because of procurement irregularities.

However, in January 2018,  former pesident Peter Mutharika commissioned 55MW diesel-powered generators in Blantyre that Escom—using a single sourcing procurement method—hired from Aggreko Power Solutions, the same company the ODPP had ordered the cancellation of its contract.

Muhara has been implicated that he was influencing events  to have the geneset deal together with  Collins Magalasi  the Malawi Energy Regulatory Authority (Mera) boss and Escom chairperson as they allegedly had their cut on it.

Human Rights Defenders Coalition (HRDC) has since through its Whistleblowing Initiative,  written ACB to  probe the deal and how Muhara, State House officials and Escom made recommendations to Escom to hire companies without goiung theoufh the bididng process.

In the initial procurement process, nine companies, Jocobsen Elekro AS, Aggreko, AKSA Enerji Rental Power, APR Energy, Almagamated Power Solution (APS), Altaaq Global CAT, So Energy International, Greenheart Energy Limited and Sino Hydro were shortlisted for supply of three generators that were to be stationed in three lots each at Mapanga in Blantyre, Kanengo in Lilongwe and Chinyama in Kasungu.

An Escom evaluation team then recommended that lots 1 and 2 be awarded to APR Energy and lot 3 to Aggreko International Projects. However, another evaluation was undertaken that awarded all the three lots to Aggreko, a move that forced some of the bidding companies to complain to ODPP.

In its findings, the ODPP faulted the evaluation process, saying it was not property concluded and ordered the cancellation of the awarding of the contract to Aggreko Power Solutions and asked Electricity Generation Company (Egenco) to restart the procurement process.

Malawi opted for diesel-powered generators as an interim measure to improve power supply in the wake of reduced hydro-electric power generation following low water levels in Lake Malawi and its sole outlet, the Shire River, where over 90 percent of the country’s electricity is produced.

Meanwhile, ACB is also probing an alleged theft of fuel at National Oil Company of Malawi (Nocma) meant for emergency diesel generators at Escom from HRDC complaint.

According to a letter dated July 28 from HRDC chairperson Gift Trapence to Matemba, Nocma went into an agreement with Escom to supply fuel between December 2017 and December 2018 following approval by Malawi Energy Regulatory Authority (Mera).

The letter states that while the contract expired in December 2018, Nocma entered into a more expensive contract with Sahara Inc of Egypt for the supply of the fuel, a development that resulted in Nocma making losses.

In December 2018, the office of the Ombudsman also launched an investigation into theft of about 4.2 million litres of fuel at Escom meant for the emergency generators procured from Aggreko.

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26 replies on “Muhara implicated in K57bn Escom gensets deal with Aggreko: ACB probes”

  1. Muhara is also involved in a corruption deal with Tanzanian fuel transporters!
    We only wonder, are guys like him or Jane Ansah get still their full perks as a high court judges?

  2. Can anyone tell me whose case did Muhara describe it as a success at the high court. This man deserve to be arrested and he cannot forcefully send his boss Chief Justice on holiday. This man must go and chat whatever with mervics, The man is shit.

  3. Thats why Muhara tried all he could to frustrate the system kuti APM apitilire pa mpando basi eishhhhhhhh please ACB do ur work diligently amangidwe anthu akuba owonongawa basi

  4. Vendetta – just because he tried to force the idiotic Chief justice who has refused to go on retirement

  5. Suspicion is not evidence, those who whistle blow usually have no tangible evidence at all. My advice to acb and the state at large is to focus on prevention measures as the best way to deal with corruption. Izi zomafukula 2017 files azidyapo ma allowance but nothing tangible will be found.

  6. Check for Muhara’s involvement in deals at Nocma (where he put his inexperienced nephew Dulla to head the organisation), at Medef (where he has his concubine Mervis Mangulenje as CEO), at MERA (where he connived with both Board Chair Joseph Bvumbwe and CEO Collins Magalasi to pull off a number of scams).

    1. Eish! a network to commit an ECONOMIC GENOCIDE coordinated by Prince of Thieves Mafia APM. And SKC amanena kuti munthu wamkulu akamakakamila pa mpando just know wayipitsilapo

      1. Kodi ankakakamira pa mpando ndi ndani? Apm sanakakamire pa mpando chifukwa term yake yachiwiri sanamalize. Akanakhala kuti amafuna kusintha malamulo kuti aimenso kachitatu ndiye kuti mwambi umenewu ukanakhala wokhoza.

  7. Lloyd Muhara is implicated in a lot of government scams. This is just the tip of the iceberg. Watch this space.

  8. Muhara was the biggest thief to have ever headed OPC. Within a short period he was able to buy hotel and has over 200 upmarket houses

    1. You dont know Muhara, he was already rich before, if you dont know its better to stay quiet, jealousy inu

      1. Being rich be4 has nothing to do with our own public funds, if found guilty he has to face seizure of all his property and face the law accordingly.

      2. Where did he get ulemerero umenewo munthu oti wakwera pompano kukhala Judge wa ku High Court? Or tiuzenkoni mulandu umene snapangapo pride mMalawi kuno?

  9. Sure as night follows days there will be an Indian involved in this corrupt deal. Let’s wait an see.

    1. What doe African Bible College (ABC) got to do with this story? I know you probably wanted to say ACB, the point is, check before posting coz any rearrangement of letters in an abbreviation could mean something different altogether. I hope you are ok with my humourous opening question.

      1. Mr Citizen did you check your write up before posting? Tell us the meaning of the word DOE. Avoid pointing fingers at others as if you are 100% perfect

      2. Ha!ha!ha!ha!ha!… You’re right, CITIZEN. One may write DOG instead of GOD without realizing it…😂

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