Electricity prices go up

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Malawi Energy Regulatory Authority (MERA) has granted permission to Electricity Supply Corporation of Malawi (ESCOM) to raise its tariffs by 32 percent in the next four years effective October 1.

Mera CEO, Joseph Vumbwe, announced the news on Monday by indicating that this year there will be an average of 20 percent hike, then next year the tariffs will go up by 7 percent.

The remaining percentage will be effected in the following years of 2020 and 2021.

The Mera boss said the decision has been made to allow Escom improve on its service delivery.

“Escom has told us that when they get the better tariffs they will try hard to make sure Malawians stop complaining always and have improved electricity supply,” said Vumbwe.

The development comes at a time when the country is experiencing everyday blackouts due to inability of Escom in meeting the electricity demand.

Escom proposed a 60 percent hike in April this year but Mera has reduced it to 31 percent after a wide consultation with different concerned stakeholders.

The 20 percent that has been implemented will be effective on those who use the power in large scales and less than 20 percent effected on small scale users.

Some experts have welcomed the rise by saying the move will attract investors to come into the country and invest in the power sector which will help minimise or end the country’s electricity  blackouts.

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