A Malawi Energy Regulatory Authority (Mera) report on the fuel stocks level shows that the country yesterday had petrol lasting 1.6 days and diesel lasting a half day.
In terms of volumes, the National Stocks Fuel Report Number 498 The Nation saw yesterday indicated that there were 1.463 million litres of petrol and about 391 000 litres (or 0.391 million litres) of diesel, which is critical in the transportation of cargo in a country where road transport is dominant.
The report further shows that there is not much fuel flowing into the country.
As of yesterday, volumes in transit comprised 0.136 million of diesel, equivalent to 0.3 days stock, and 3.801 million litres of petrol enough for just four days.
National Oil Company of Malawi (Nocma), a State-owned major player in the importation and supply of fuel into the country, yesterday said it was “trying hard” to normalise the situation.
In an interview yesterday, Nocma spokesperson Raymond Likambale said: “We are trying to bring in more volumes. All our suppliers are still loading at Beira in Mozambique and Dar es Salam in Tanzania. I will need more time to get actual stocks and arrivals.
“People are really working around the clock to ease the situation. For us, we are loading a lot from Dar es Salam because at Beira there is underdeveloped infrastructure, which leads to major queues.”
On the recently renewed $50 million Arab Bank for Economic Development in Africa (Badea) facility initially secured in November 2022, he said processes were ongoing to activate it.
Said Likambale: “So, for the Badea facility, that one was granted and our teams are working tirelessly to make sure that the fund benefits Malawians. In terms of its operation, I think those details will be shared later as time progresses.
“However, that facility was granted and we are optimistic that the volumes will continue to improve. All players in the sector are constantly engaging on how best to deal with the challenge.”
But a petroleum industry source hinted that the Badea facility may not translate into immediate relief in the supply of fuel because Nocma owes three suppliers about $67 million for fuel supplied through open credit; hence, the amount could go towards paying off the suppliers.
In a separate interview, another petroleum industry player confided that importers were facing acute shortages of foreign exchange to pay suppliers.
Said the source: “We haven’t been given the required amounts [of forex] to import and we are still struggling. The situation is that banks are dry and the central bank is equally stuck.
“We are hopeful that we will find a solution soon because if we don’t, we will fail even to dispatch vehicles to collect the fuel. We are trying, but the stocks are not enough.”
On his part, Petroleum Retailers Association of Malawi chairperson Happy Jere said the going was getting tougher by the day as they need to pay rentals, salaries for staff, and it was even worse in rural areas.
“We have been in business for many years, and we saw how it happened in 2012, in between and now. The solution is to have forex, and reduce appetite for imports. We have reached a point of a hand to mouth situation,” he said.
Meanwhile, Minister of Information and Digitisation Moses Kunkuyu, who last week promised that the fuel situation would normalise by last weekend, in an interview last evening said government has made some fuel payments.
He said: “So, government has paid that $21.5 million [about K37.6 billion] for fuel importation and the stocks are coming, but the challenge is that we have panic buying because people still anticipate stockouts.”
According to the Mera report, 961 200 litres of petrol and 172 700 litres of diesel were due for delivery yesterday.
The report further showed that out of 365 service stations nationwide, 343 did not have petrol while 291 had no diesel.
A National Stocks Fuel Report for October compiled by Mera also showed that the crisis had been brewing since October 1 2024, when the country had 4.9 days stock of petrol and 15 days stock of diesel.
