Botswana Oil Limited bans multinational oil companies from importing petroleum products starting April 1.
According to the new mandate, 90 percent of fuel imports required for Botswana shall be imported by Botswana Oil Limited, while 10 percent will remain imported by locally owned companies.
“This new mandate will trim the dominance and prevalence of multinationals in the sector, creating investment opportunities for local companies,” said Baruti Regoeng, a principal engineer at the Department of Energy within the Ministry of Minerals and Energy, when addressing the media on Tuesday.
The new development is also expected to ensure the security of supply, balance the interests of suppliers, retailers, and consumers, and encourage citizen participation to ensure a reliable countrywide supply of fuels, Regoeng said, insisting that the development will face many challenges.
“But we should not despair. We are stopping something and starting something to improve on it. The government is determined to strategically promote citizen-owned companies in the petroleum sector,” he said.
The government wholly owns Botswana Oil Limited, the national oil company established in 2013 under the Companies Act (2008) and incorporated under the Ministry of Minerals and Energy.
