The Malawi Energy Regulatory Authority ( MERA) says the combined effect of the performance of Key determinants may result in higher landed costs of petroleum products in the month of February 2022.
MERA has announced this through a Statement dated January 26th, 2022 saying that to date, the landed costs of petro, Diesel and Paraffin have increased by 6.04%, 13.35%, and 13.91% respectively.
Through the statement, MERA said that as at 25th January 2022, the price stabilisation Fund ( PSF) balances for Petro, Diesel and Paraffin averaged K0.9 billion against the recommended minimum of K5 billion.
“Since the determination of the ruling pump prices in October 2021, the Malawi kwacha has slightly depreciated against the United States Dollar by ,0.12% from an average of K823.49/USD to the current average of K824.48/USD,” it reads.
On the other hand, FOB prices of Petro, Diesel and Paraffin have increased by 6.04%, 13.35%, and 13.91% respectively.
It further revealed that in the upcoming energy price reviews, MERA will consider changes in landed costs; the PSF status, the needs to enable importing companies to recover importation costs, and the goal of promoting consumers interests with respect to fuel prices and continuity of supply.