LPG Association Raises Concern Over Gas Shortage in Malawi
The Liquefied Petroleum Gas (LPG) Association of Malawi has raised concern over the persistent shortage of cooking gas across the country, attributing the situation to limited access to foreign exchange.
LPG Association of Malawi Public Relations Officer Phillip White raised the concern during a press briefing in Lilongwe on Friday.
White said the shortage was no longer a secret and called on government to prioritise foreign exchange allocation to LPG importers to restore supplies.
“Our main concern is that we are trying to lobby government, but also encourage consumers. Our message is simple: we are calling on government to ensure there is forex allocation to the industry so that it can continue operating,” said White.
He said if government was unable to provide adequate foreign exchange, another possible solution would be to deregulate LPG pricing to allow companies with the capacity to import gas to do so based on the prevailing landed cost.
White said this would enable importers to bring in LPG and sell it at prices that allow them to recover their costs and make a reasonable profit.
He stressed that the immediate solution was for government to prioritise the LPG industry in foreign exchange allocation to ensure consistent availability of gas.
White further said consumers were bearing the brunt of the shortage, having invested heavily in gas cylinders and cookers which could not be used in the absence of LPG.
He said the association had engaged the Ministry of Energy, the Malawi Energy Regulatory Authority (MERA) and the Ministry of Natural Resources and Climate Change in an effort to find a lasting solution.
“We have had conversations with MERA and have also engaged the Ministry of Natural Resources. The reason we are doing this is because we want gas to be available in this country,” White said.
Meanwhile, Ministry of Energy Principal Secretary Elvis Thodi has assured Malawians that the government is working to address the shortage.
Thodi told the Parliamentary Committee on Natural Resources and Climate Change that the Reserve Bank of Malawi had committed to providing foreign exchange to facilitate LPG imports and help restore stability in the country’s LPG supply.
