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Petroleum products supply dynamics and challenges in the Botswana marketMfosi, Sandy Dos Mareko 03 1900 (has links)
Thesis (MBA)--Stellenbosch University, 2011. / Petroleum fuels energy supply and its availability is an essential precondition for socio-economic
development in any economy. Energy is required in meeting the basic human needs such as food,
shelter, health, education and for economic activities such as transport, agriculture and mining.
Botswana’s energy consumption is dominated by petroleum fuels. The country has no known
petroleum reserves and it has to import all its petroleum requirements in refined form, from the
neighbouring South Africa.
The study focuses on the challenges of security of supply of petroleum products in Botswana.
What is at stake is to identify alternative supply sources and routes of petroleum products to
Botswana, thus reducing the risk of wholly dependence on South Africa for the supply. A major
goal is to develop alternative sources and routes from neighbouring countries. This can be
achieved by the Botswana Government taking advantage of regional cooperation with neighbouring
countries.
The study explores other approaches to reduce the high dependence on South Africa. One of the
possible solutions is for Botswana Government to establish a state owned oil company which could
play a catalytic role in the implementation of many of the steps considered in this study. This
company could, for example, be charged with crude oil exploration in Botswana and with steps to
assist locally owned Botswana companies to establish themselves in the marketing and distribution
of petroleum. Much will, however, depend on the resources that can be mobilised by the Botswana
Government for such a State Oil Company.
The study is based on secondary data obtained mainly from the Division of Energy in the Ministry of
Minerals, Energy and Water Resources. Feasibility studies conducted by consultants engaged by
the Ministry played an important role in the literature underlying this report.
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