The National Oil Company of Malawi (NOCMA) is considering getting involved in the procurement, transportation and establishment of strategic Liquefied Petroleum Gas (LPG) storage facilities, for steady supply of LPG.

Ministry of Energy Principal Secretary Elvis Thodi, NOCMA is currently finalising its strategic plan and implementation plan, with the development of strategic LPG reserves being a major component of the plans. He said once the plans are finalised, specific timelines will be established for the implementation of the initiative.

Appearing before the Natural Resources Committee of Parliament, Thodi said the current scarcity of LPG is attributed to several factors, including foreign exchange shortages and the lack of strategic reserves for LPG in the country, and as such any disruption in the LPG supply chain therefore directly affects availability on the market.

“Ministry of Energy has been active in engaging the Reserve Bank of Malawi (RBM), the Ministry of Finance and LPG importers to ensure that foreign exchange is made available to importers as a matter of urgency.” He said.

The committee was further informed that the LPG strategic reserve is not necessarily just the supply itself, but also to ensure that the government has a buffer when there is a supply challenge.

Meanwhile, Chairperson of the Committee Tiaone Hendri said the committee is concerned with the scarcity of LPG, and is only proper for authorities to come together and resolve the matter realizing the importance of LPG to achieving clean energy.

Sha said they think the LPG part has not been given the attention it deserves and as such has proposed to hold a meeting in ten days with all government agencies and departments involved, for quick interventions.

Currently Malawi’s LPG is 100 percent imported, and is completely done by private importers. As it stands Malawi has been facing shortages of Liquefied Petroleum Gas, hence the Committee’s engagement with the authorities.