Motorists panic,queue for fuel

Panic has gripped motorists in some parts of the country as fuel queues resurfaced after about a month of stability and authorities have attributed the situation to local distribution glitches.

Faced with shortage of fuel, especially petrol in Blantyre, Zomba, Mzuzu and Lilongwe since Sunday, motorists have been seen queuing afor the commodity.

In Lilongwe, motorists were seen queuing at one station, but within a stone’s throw the commodity would be available with no queue.

But Malawi Energy Regulatory Authority (Mera) spokesperson Fitina Khonje yesterday urged consumers to stop buying fuel in excess.

She said: “The disruption was not on the forex side as had been the case, but rather, it was due to internal supply challenges which players are currently trying to fix.

“It is something to do with their logistics agreement and distribution. So, even though the volumes are available, there were some lapses in supply chain internally.”

Khonje said players in the oil industry, including National Oil Company of Malawi (Nocma) and Petroleum Importers Limited (PIL), are working to “replenish the volumes in their stations that have been stocked out”.

She said: “All of us should take some level of responsibility. The industry should operate at their optimal best and we understand that they are doing everything they can to replenish the stations that have been stocked out.”

“They [consumers] should buy the fuel in volumes that they want and need, but not buying excess volumes just because they anticipate stock outs that can cause even more challenges because the disruptions may not be resolved quickly. The industry is aware that is why they are speeding up efforts.”

In a statement issued on Monday, Mera said the country has a 15-day stock cover of diesel and petrol available for distribution, an improvement from the six-days stock cover position recorded on November 5 2022.

Reads the statement in part: “In addition, fuel stocks equivalent to fourteen days cover are in transit. Furthermore, fuel importers continue to lift substantial volumes from the ports of Beira, Dar es Salaam and Nacala.”

On the other hand, Nocma, which procures about 50 percent of the country’s fuel volumes, yesterday said they do not expect any stock outs during the festive season.

Nocma public relations officer Rex Chikoko said in a written response yesterday they are currently accessing a combined $61.4 million (about K63.4 billion) for importation of fuel.

He said: “There is an improvement in the fuel supply as Nocma has increased fuel volumes being brought into the country. Nocma is not anticipating any fuel stock out. Nocma assures the public of the availability of fuel during the festive season.

“Nocma is prepared on the financing side. The company currently is accessing the $50 million Badea fuel facility and a total of $11.4 million from the local commercial banks. The two financing lines give Nocma confidence that fuel will be available.”

Treasury secured the $50 million line of credit from the Arab Bank for Economic Development in Africa (Badea) in September this year.

PIL general manager Martin Msimuko yesterday said the consortium of private sector oil marketing companies has submitted a report on the fuel situation to Mera as such would not comment on the same because “Mera has all details”.

Mera estimates show that in a day, Malawians use 845 000 litres of petrol and 834 000 litres of diesel.

The panic among motorists is emanating from the recent crisis which saw them endure snaking queues to buy the commodity at the few stations with stocks. Fuel supply has been erratic between August and end October.