President Lazarus Chakwera has asked the United Arab Emirates (UAE) government to create a platform which allows Malawi to establish reliable fuel supply, as well as explore opportunities for investment in fuel refineries in Malawi.
According to a State House statement, Chakwera made the appeal yesterday during a meeting with UAE Minister of Investment and Group Chief Executive Officer of Abu Dhabi Holdings, Mohamed Hasan Alsuwaidi.
The Malawi leader emphasised the pressing need for sustainable solutions to Malawi’s recurring fuel challenges, hence the need to foster partnerships with UAE-based fuel companies to ensure consistent supply.
“A partnership with the UAE is not just about fuel supply; it’s about creating long-term solutions that bolster Malawi’s energy security and open avenues for local job creation through infrastructure development,” said Chakwera.
The Malawi leader also proposed establishment of fuel refineries in Malawi by UAE investors to reduce logistical costs and enhance local capacity in fuel production, which would eventually contribute to Malawi’s economic growth.
On foreign direct investment, Chakwera told the meeting that his administration is submitting a comprehensive investor pack to ADQ, one of the largest holding companies in the UAE, outlining bankable projects aimed at transforming Malawi’s economy.
On his part, Alsuwaidi expressed interest in exploring these proposals, signalling potential collaborations that could transform Malawi’s energy landscape.
Chakwera is in UAE at the invitation of that country’s leadership to, among other things, kick-start the engagement in government-to-government (G-2-G) agreements for the procurement of petroleum products.
On Tuesday, the Malawi Parliament passed, amid reservations from the opposition, the Liquid Fuels and Gas (Production and Supply) Act (Amendment) Bill to facilitate the transition from open tender to government-to-government procurement of fuel.
The new law will make operational President Lazarus Chakwera’s directive to transition from the open tender system to a government-to-government procurement process and gives the Minister of Energy the power to nominate an agent or State entity to import fuel without the oversight prescribed in the Public Procurement and Disposal of Assets (PPDA) Act of 2017.
