Government introduces Cyclone Freddy Fuel Levy

Government has introduced Cyclone Freddy Fuel Levy to raise funds for reconstruction of roads destroyed by the storm.

Minister of Finance and Economic Affairs Sosten Gwengwe said this yesterday at Kamuzu International Airport where he symbolically received a donation from the Japanese Government for the cyclone survivors.

He said the government expects to raise K30 billion through the levy.

“Government will collect K54 per litre of fuel and this financial year we expect to collect K30 billion,” he said.

Gwengwe explained: “We have looked at price build up mechanism and managed to come up with this K54 per litre.

“It was just a matter of re-arrangement of some levies and only the Minister of Finance can do that. This will not affect the fuel pump price.”

He said some cyclone survivors are failing to get support due to the damaged road infrastructure; hence, the levy.

The Japanese Government handed over assorted items that included 350 large tents, 350 potable water tanks and water purifiers.

Speaking during the function, Japanese Ambassador Yoichi Oya said they donated in the spirit of global solidarity.

He said: “As an ambassador, I am also discussing with the head office to see how we can support the Malawi Government to reconstruct its roads and bridges.”