A statement by the Malawi Energy Regulatory Authority (Mera) on Tuesday said it was considering adjusting prices of fuel.
Mera says the recent trends in the exchange rate and Free on Board prices of refined petroleum products on the international market triggered a 20.4% increase on the landed cost of petrol and a 12% increase on diesel. As a result, authority may increase prices of fuel soon because it uses the Automatic Pricing Mechanism (APM) which dictates that prices are adjusted when the change in the landed cost is beyond the negative or positive 5% trigger band.
Meanwhile, the public transport sector has decreased its passenger intake following Covid-19 preventative measures, a development that has decreased profits. Should fuel rise, a rise in bus fares is likely to follow.