The Malawi Energy Regulatory Authority considered recent trends in the world petroleum products prices and other macroeconomic fundamentals.
Since the last pump price revision of 7th September 2012, average FOB prices on the international market increased by 1.05% and 2.50% on diesel and paraffin respectively. During the same period average FOB prices for petrol slightly declined by 0.56%.
The exchange rate of Malawi Kwacha to the US Dollar has depreciated by 6.73% over the same period of time from K288.99 to the USD Dollar noted on 7th September 2012 to K308.45 to 1US Dollar on 2nd October 2012.
Resultant In Bond Landed Cost (IBLC)
A combined effect of the FOB prices and the exchange rate of Malawi Kwacha to the US Dollar has resulted in increased landed cost for petrol, diesel and paraffin by 5.66%, 7%, and 8.12% respectively.
In line with the Automatic Pricing Mechanism (APM), MERA has revised upwards the pump prices of petrol, diesel and paraffin.
Effective 6:00am on 4th October 2012 maximum pump prices for petroleum products will be as follows;
All filling stations are therefore required to display pump prices being charged on clearly visible signage within their premises.
MALAWI ENERGY REGULATORY AUTHORITY
3RD OCTOBER 2012