Electricity Supply Corporation of Malawi (Escom) has cancelled plans to award a K675 million contract for the demolition of its burnt building in Blantyre.

A statement signed by Escom chief executive officer Allexon Chiwaya said the power utility body has cancelled the procurement proceedings with immediate effect following public uproar.

Chiwaya said Escom followed all procurement processes in its intent to award the contract to Irrigwater and Mining Equipment including seeking a No objection from the Public Procurement and Disposal of Assets Authority.

He however said all the concerns raised by the public are being addressed and Malawians will be informed of any other development.

On April 24, 2019 the Electricity Supply Corporation of Malawi (Escom) issued a notification of intention to award a K675 million contract to Irrigwater and Mining Equipment to demolish the Escom building that was burnt down in 2013.

But the news was greeted with concerns by some Malawians who argued that the amount is too high for such an exercise.

A document allegedly for the tendering process which went viral on social media platforms indicated that bids from some companies were way below K675 million.

Escom board chairperson Thom Mpinganjira told the media that the cost was justifiable as the exercise would require ferrying of equipment from South Africa.

Mpinganjira also said the document which went viral on social media platforms was for an old bid which was canceled.