The Delivery Duty Unpaid (DDU) method of importing fuel into the country has been temporarily held back, following an injunction obtained by the Fuel Tankers Operators Association (FTOA).
The DDU system involves the seller or supplier assuming all the risks for delivery of the product from external depots at the ports to various internal depots in the country. The FTOA described DDU as an illegal system since the local importer only takes charge of the products after it is delivered on site at local depots in the country.
Nocma prefers the DDU system to ensure safety and security of fuel where all the risks and costs are borne by the supplier. Nocma’s acting Chief Executive Officer Hellen Buluma said their lawyers are looking at obtaining a stay on the injunction and that if that fails, they will go ahead and appeal at the Supreme Court. “This is just an injunction, so Malawians should not panic. It will be resolved and the country will continue having enough fuel,” Buluma said.