As South Africa has commenced rationing, Botswana Oil Limited has announced that it is experiencing a drop in supply from its biggest supplier.

In a media briefing in Gaborone, the Ag. Chief Executive Officer of Botswana Oil, Meshack Tshekedi, said that South Africa had to ration supply, as its capacity to service the domestic market had declined.

The Ag. CEO stated that the government had authorised eight million litres of reserves to be used and had approved the purchase of fuel from other countries – Namibia and Mozambique to be precise. He noted that supply from both countries would be expensive and the government already had to subsidise transport cost, but announced that the company had requested P5-6 million, intended to subsidise the transportation from Mozambique and Namibia.

The company’s Ag. Chief Operations Officer, Mosetlho Kenamile, announced that six local trucking businesses had already been approved to ease the transportation challenges, meet demand, and help avoid cases of dry-outs.

He noted that Botswana had a reserve capacity of 55 million litres which could last up to 30 weeks in dire conditions, and said that the government was stepping up efforts to improve energy security; one of the steps being taken was the capacity expansion of Francistown depot.

The Ag. COO said that coastal storage was being considered alongside the development of Ghanzi depot and when completed, it would increase the country’s stock-holding capacity.

He also announced the company’s plan to venture into a public-private partnership to develop Tsheke Hills storage facility through government moderations.

The executives of the oil company attributed Botswana’s minimal participation in the oil and gas industry to a gap in knowledge and the high modalities in the entrance from an economic point.

Botswana Oil Limited is the national oil company of Botswana that supports the Government of Botswana to achieve its set national objectives.