By Twink Jones Gadama
The Electricity Supply Corporation of Malawi (ESCOM) has announced a 16 percent electricity tariff adjustment, effective February 1, 2025. This increase is the second tranche of a four-year base tariff approved by the Malawi Energy Regulatory Authority (MERA) in 2023.
According to ESCOM, the tariff adjustment will significantly help improve their service delivery. The corporation has been facing challenges in providing reliable electricity supply to its customers, and the increased revenue from the tariff adjustment is expected to help address these challenges.
The four-year base tariff was approved by MERA in 2023, with a total increase of 50.8 percent spread across four years. The first tranche of 18 percent was implemented in September 2023, and the latest 16 percent increase is the second tranche.
The tariff adjustment is expected to have a significant impact on electricity consumers in Malawi. The increased cost of electricity may affect businesses and households, particularly those that rely heavily on electricity.
However, ESCOM has assured its customers that the tariff adjustment will enable the corporation to improve its service delivery. The corporation plans to use the increased revenue to upgrade its infrastructure, reduce power outages, and improve customer service.
The Malawi Energy Regulatory Authority (MERA) has also assured the public that the tariff adjustment is necessary to ensure the sustainability of the electricity supply industry in Malawi. MERA has stated that the tariff adjustment is based on a thorough analysis of the costs of generating and distributing electricity in Malawi.
In a statement, ESCOM’s CEO, Kamkwamba Kumwenda, said that the tariff adjustment is necessary to ensure that the corporation can continue to provide reliable electricity supply to its customers. Kumwenda assured customers that ESCOM will continue to work hard to improve its service delivery and reduce power outages.
The tariff adjustment has been met with mixed reactions from stakeholders. Some have expressed concern that the increased cost of electricity may affect businesses and households, while others have welcomed the move as necessary to ensure the sustainability of the electricity supply industry in Malawi.
As the debate continues, one thing is clear: the tariff adjustment is a necessary step towards ensuring the sustainability of the electricity supply industry in Malawi. Whether or not the adjustment will have a positive impact on electricity consumers remains to be seen.
In the meantime, ESCOM has assured its customers that it will continue to work hard to improve its service delivery and reduce power outages. The corporation has also urged customers to use electricity efficiently and to report any power outages or other issues to the corporation’s customer service center.
As Malawi continues to grapple with the challenges of providing reliable electricity supply to its citizens, the tariff adjustment announced by ESCOM is a significant development. Whether or not the adjustment will have a positive impact on electricity consumers remains to be seen, but one thing is clear: the sustainability of the electricity supply industry in Malawi depends on it.
