The Malawi Energy Regulatory Authority (Mera) has maintained the pump prices for petrol, diesel and paraffin following the stabilization of Malawi Kwacha against major currencies.
Local fuel prices were last reviewed in July 2017.
In a statement Mera issued on Monday 16th April, 2018, Mera indicates that it has maintained retail fuel prices at Petrol K824.70, Diesel K815.80 and Paraffin K648.70.
The statement signed by Board Chairperson, Reverend Joseph Bvumbwe indicates that the authority decided to maintain the prices despite a rise in average Free on Board FOB) prices in March,2018 when compared to the averages obtained in the month of October, 2016 used as the basis for determining the ruling pump prices.
In March, 2018 FOB prices of petrol increased by 23.59 percent, diesel by 24.14 percent and paraffin by 29.72 percent.
Landed costs of petrol, diesel and paraffin also increased by 6.29 percent, 12.76 percent and 15.45 percent respectively.
“The changes in the landed costs qualified all the three petroleum commodities for an upward pump price adjustment since the changes in the landed costs were beyond the ±5% trigger limit.
“Mera resolved to maintain pump prices for all the three products and apply the Price Stabilization Fund (PSF) to cover the increased landed costs of the three petroleum products,” reads the statement in part.
Malawi last saw an increase in fuel prices in November 2016 when the prices went up by an average 4.62 percent. The country is using the Automatic Fuel Pricing Mechanism, where fuel prices are determined by market forces.