President Chakwera orders NOCMA to abolish open tender system of fuel procurement

By Linda Kwanjana


Malawi President Dr Lazarus McCarthy Chakwera has ordered the National Oil Company of Malawi (NOCMA) to use Government to Government criteria as one way of ensuring sustainability of fuel across the country’s filling stations.

In his national address at Kamuzu Palace in Lilongwe , Chakwera said the current depletion of forex reserves have affected the procurement of fuel creating fuel shortages.

“My administration has decided to begin the process of transitioning Malawi from the open tender system for procuring fuel to a Government to Government arrangements that will make our access to fuel more secure through better payment cycles,” he said.

Chakwera



Chakwera has since announced that he has instituted a committee tasked to process the transitioning the fuel procurement system.

The committee is chaired by Minister of Energy, Ibrahim Matola, others include Minister of Trade, Industry, Finance, Justice, Foreign Affairs, Secretary to the President and Cabinet, Attorney General, as well as MERA Chief Executive Officer.

The President  has made a bold decision to move Malawi away from an Open Tender system of procuring and importing fuel to a Government to Government arrangement.

This is a sustainable approach that will stabilize the importation structures of the strategic commodity. Fuel queues will be history.

During the address, President Lazarus directed the ministry of finance to announce additional austerity measures in the midyear budget statement to be presented this week.

Chakwera said this will help save forex, which is in limited supply due to limited exports.

The President also said he is aware of the hunger situation in the country, but Malawians should be assured of food security as relief is on the way.

The Malawi leader said, government has secured relief items to support up to 4.5 million people out of 5.7 million estimated number of people to be affected by hunger. As out of MK341 billion which is needed the country is struggling to find MK89 billion which he says he has confidence that partners will continue to come and rescue the situation.

The Malawi leader also came clear to condemn incidents of political violence saying it has no room in the democratic society and called for Malawi Police Service to investigate and arrest anyone involved in political violence in the country.