High pressure mounts on fuel prices

Friday, March 20, 2026 | 340 Views |

Under pressure: Fuel prices are expected to rise in the very near future PIC: KENNEDY RAMOKONE

The Middle East crisis is piling pressure on local retail pump prices, with industry insiders estimating that petrol is presently about P3 and P4 below breakeven and diesel as much as P5 below par, even before the month ends.

The Botswana Energy Regulatory Authority (BERA) maintains a slate, which is a formula calculating the costs involved in supplying and distributing various forms of fuel within the country. Every month, BERA looks at the movements of the various factors in the slate to gauge whether pump prices are “under-recovering” or “over-recovering”.

Both terms refer to whether pump prices are above or below the costs involved in bringing and distributing the fuel throughout the country, which determines whether pump prices increase or decrease.

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