National Oil Company of Malawi (Nocma) has stirred more controversy in the fuel supply deal by issuing fresh contracts using a new procurement method
not part of the bidding document to the chagrin of hauliers.
Nocma deputy chief executive officer Helen Buluma announced the newl y adop ted procurement method known as Delivered at Place Unloaded (DPU) during a meeting with Transporters Association of Malawi in Lilongwe yesterday.
DPU—which is not part of the High Court order and Anti-Corruption Bureau (ACB) directive—has not impressed fuel transporters who argue that it is similar to the Delivered Duty Unpaid (DDU) system they protested against it favours foreign transporters.
But despite the protests, Buluma said Nocma was free to use any method apart from DDU. She said in the newly issued contracts, they have used DPU and Ex-tank.
She said the DPU has lower risks as both the supplier and the buyer have almost equal obligations
Buluma also claimed that when they sought clarity from ACB on the matter, the graft-busting body admitted to have erred in its interpretation of the High Court order to ask Nocma to use Ex-tank only. She said ACB had allowed them to use any method of their choice.
But the letter of clarification we have seen from the ACB, signed by director general Martha Chizuma, does not give Nocma a blank cheque as it instead suggests that based on the court order, if DDU could not be used, then the only option was Ex-tank.
Transporters obtained an injunction early this year restraining Nocma from using DDU.
A fuel loading order from Nocma dated October 6 2021 indicates that about 50 foreign transporters have already been engaged to transport fuel into Malawi, a move which apparently displeased local transporters who attended yesterday’s meeting.
In an interview yesterday, Fuel Tankers Operators Association (Ftoa) chairperson Gordon Luhanga said the new procurement method is as bad as DDU as it favours foreign suppliers .
Source: Nationa_Suzgo Chitete_13/10/2021