ESCOM prepaid units worth K60 billion sold on black market

Electricity Supply Corporation of Malawi (ESCOM) has lost K60 billion since 2018 due to a syndicate involving employees who have been selling prepaid units to companies and individuals in the country through parallel structures.

ESCOM Chief Executive Officer Kamkwamba Kumwenda revealed the fraud, saying the sale of the unit started in 2018 after the company migrated to pre-paid meter billing system

He said some companies and Malawians of Asian origin have been buying the prepaid units illegally.

According to Kumwenda, ESCOM and Electricity Generation Company (EGENCO) employees have been selling their electricity allocations to these entities and individuals.

Yesterday, Kamkwamba Kumwenda went to Kips Main Restaurant in Blantyre where he alleged that the company has been buying electricity from parallel markets and now owes ESCOM over K61 million.

“Some companies even have K17 million worth of electricity meaning they can’t buy any units for the next five years,” he said.

He added that the company will embark on a nationwide inspection of 461,000 properties implicated in the syndicate.

“We will name and shame all people who are doing such illegal activities for ESCOM is losing about K12 billion every year due to such unpatriotic tendencies,” said Kumwenda.