Fuel prices up

Staff Writer August 9, 2012

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PRESS RELEASE

Malawi Energy Regulatory Authority (MERA) considered recent trends in the world petroleum products prices and other macroeconomic fundamentals.

FOB Prices

Since the last pump price revision of 6^th July 2012, the FOB prices on the international market increased by 8.562%, 6.33% and 6.34% on petrol, diesel and paraffin, respectively.

Exchange Rate

The exchange rate of Malawi Kwacha to the US Dollar has depreciated by 2.15% over the same period of time from K278.00 to K284.00 to 1US Dollar as of 6^th August 2012.

Resultant In Bond Landed Cost (IBLC)

A combined effect of the FOB prices and the exchange rate of Malawi Kwacha to the US Dollar has resulted in increased landed cost for petrol, diesel and paraffin by 8.05%, 6.47% and 6.32% respectively.

In line with the Automatic Pricing Mechanism (APM), MERA has revised upwards the pump prices of petrol, diesel and paraffin.

Effective 6:00 am on 10^th August 2012 maximum pump prices for petroleum products will be as follows;

Petrol

From K441.10 per litre to K485.60 per litre (10.09% change)

Diesel

From K445.60 per litre to K475.00 per litre (6.60% change)

Paraffin

From K367.00 per litre to K390.00 per litre (6.27% change)

All filling stations are therefore required to display pump prices being charged on clearly visible signage within their premises.

L.Y. ZINYEMBA

CHAIRPERSON

MALAWI ENERGY REGULATORY AUTHORITY