New BERA given vast powers over licence holders
The Botswana Energy Regulatory Authority (BERA) has been given more powers in line with the new law to crack the whip on license defaulters.
The parastatal was formed two months ago subsequent to the passing of the Botswana Energy Regulatory Act of 2016 by parliament. BERA is responsible for the economic regulation of the energy sector being; electricity, petroleum products, coal, natural gas, solar energy and other forms of renewable energies. The parastatal is tasked with issuance of licences to the five (5) multinational oil companies (Botswana Oil Ltd., Vivo Energy, Puma Energy, Engen Oil Marketing, Chevron Botswana and Total Oil Botswana) including a number of citizen based companies (Excess Petroleum, Stol, Afritech, Tswana Petroleum).
This extends also to a number of international and local Gas Supply and Distribution Companies (Total, Afrox Botswana, Easigas Botswana, Pula Energy, Airliquide, and Simsagas). BERA Chief Executive Officer (CEO) Rose Seretse told the press this week in the inaugural media pitso since the instigation of the organisation that “the parastatal may amend, suspend or revoke a licence and impose such fines as it may consider appropriate at the end of the investigations – if the Authority is satisfied that there is a contravention of the Act.”
She emphasized that in terms of Section 53 (1) of the Act, the Authority is conferred with powers to initiate or receive and investigate any complaint from any person against a licensee. She said the investigation should be based on the existence of reasonable grounds that a contravention of any of the provisions of the Act has occurred or that the conditions of a licence are not adhered to.
According to the ex-Director of Directorate of Corruption and Economic Crime (DCEC) the Authority has the power to enter and search the premises of any licensee it intends to investigate (give a licensee four (4) days’ notice of the intended search and reasons for searching the premises). She stated that however if the Authority decides to investigate it shall inform the licensee or affected person in writing of its intention to investigate. “Before the search, the Authority shall obtain a search warrant from the Magistrate Court. Notwithstanding, the Authority may enter and search any premises, other than a private dwelling, without a warrant (followed by an ex post notice),” Seretse pointed out to the pack of journalists at the briefing.
The BERA CEO warned that the authority has power to require information from any person that it considers necessary to enable it to carry out its functions under the Act, and it is an offence to unreasonably refuse to furnish the Authority with information when required to do so under Section 66 of the Act. According to Seretse, it is important to note that an application for a licence may if the authority considers necessary be done through a tendering method determined by the authority.
“Additionally, it is worth noting that licences will be issued at a fee which includes application fees and annual licence fees among others. However, these fees should be reasonable, justifiable and appropriate for the type of activity. The annual licence fees in aggregate should not exceed one and half percent of the combined gross turnover of the licence or regulated entity,” she said.
BERA is also mandated to ensure that there is competition in the energy sector and that there is energy security in Botswana. Nonetheless, Seretse highlighted that in terms of Section 62, the Authority shall refer all issues relating to competition to the Competition Authority.
In terms of their responsibilities on the tariffs, Seretse said the authority may review a tariff where it considers it necessary to do so in the interest of customers, consumers and other users and where the tariff is due for periodic review as determined by the authority from time to time.
“The Authority shall, from time to time and by notice in the gazette publish the tariff review methodology and considerations that the Authority apply when reviewing a tariff. The Authority shall, when reviewing tariffs, take into account any direct subsidies by government to support energy or cross subsidies between different consumer classes.” Already it was reported that BERA is inundated with reports on mishandling and smuggling of fuel out of the country. It is said that consumers and other informal fuel resellers purchase fuel from various fuel filling points with containers not recommended for safe handling and transportation of fuel.
“Containers used include, 20 litres and 25 litres plastic containers, 200/210 litres drums and in certain instances; worn out jerry cans. It has been observed that this practice is particularly rife in the northern part of the country; Francistown, Kasane and the surrounding areas.” It has also been noted that the fuel being smuggled outside the country is for re-sale in the neighbouring countries to the northern part of Botswana, and that BERA will continue to put such unwanted conduct on line. The Ministry of Minerals Resources, Green Technology and Energy Security (MMGE) through the Department of Energy is responsible for the formulation, development and coordination of the National Energy Policy.
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Nigerians, Zimbabweans apply for Chema Chema Fund
Fronting activities, where locals are used as a front for foreign-owned businesses, have been a long-standing issue in Botswana. These activities not only undermine the government’s efforts to promote local businesses but also deprive Batswana of opportunities for economic empowerment, officials say. The Ministry of Trade and Industry has warned of heavy penalties for those involved in fronting activities especially in relation to the latest popular government initiative dubbed Chema Chema.
According to the Ministry, the Industrial Development Act of 2019 clearly outlines the consequences of engaging in fronting activities. The fines of up to P50,000 for first-time offenders and P20,000 plus a two-year jail term for repeat offenders send a strong message that the government is serious about cracking down on this illegal practice. These penalties are meant to deter individuals from participating in fronting activities and to protect the integrity of local industries.
“It is disheartening to hear reports of collaboration between foreigners and locals to exploit government initiatives such as the Chema Chema Fund. This fund, administered by CEDA and LEA, is meant to support informal traders and low-income earners in Botswana. However, when fronting activities come into play, the intended beneficiaries are sidelined, and the funds are misused for personal gain.” It has been discovered that foreign nationals predominantly of Zimbabwean and Nigerian origin use unsuspecting Batswana to attempt to access the Chema Chema Fund. It is understood that they approach these Batswana under the guise of drafting business plans for them or simply coming up with ‘bankable business ideas that qualify for Chema Chema.’
Observers say the Chema Chema Fund has the potential to uplift the lives of many Batswana who are struggling to make ends meet. They argue that it is crucial that these funds are used for their intended purpose and not siphoned off through illegal activities such as fronting. The Ministry says the warning it issued serves as a reminder to all stakeholders involved in the administration of these funds to ensure transparency and accountability in their disbursement.
One local commentator said it is important to highlight the impact of fronting activities on the local economy and the livelihoods of Batswana. He said by using locals as a front for foreign-owned businesses, opportunities for local entrepreneurs are stifled, and the economic empowerment of Batswana is hindered. The Ministry’s warning of heavy penalties is a call to action for all stakeholders to work together to eliminate fronting activities and promote a level playing field for local businesses.
Meanwhile, the Ministry of Trade and Industry’s warning of heavy penalties for fronting activities is a necessary step to protect the integrity of local industries and promote economic empowerment for Batswana. “It is imperative that all stakeholders comply with regulations and work towards a transparent and accountable business environment. By upholding the law and cracking down on illegal activities, we can ensure a fair and prosperous future for all Batswana.”
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Merck Foundation and African First Ladies mark World Health Day 2024
Merck Foundation, the philanthropic arm of Merck KGaA Germany marks “World Health Day” 2024 together with Africa’s First Ladies who are also Ambassadors of MerckFoundation “More Than a Mother” Campaign through their Scholarship and Capacity Building Program. Senator, Dr. Rasha Kelej, CEO of Merck Foundation emphasized, “At Merck Foundation, we mark World Health Day every single day of the year over the past 12 years, by building healthcare capacity and transforming patient care across Africa, Asia and beyond.
I am proud to share that Merck Foundation has provided over 1740 scholarships to aspiring young doctors from 52 countries, in 44 critical and underserved medical specialties such as Oncology, Diabetes, Preventative Cardiovascular Medicine, Endocrinology, Sexual and Reproductive Medicine, Acute Medicine, Respiratory Medicine, Embryology & Fertility specialty, Gastroenterology, Dermatology, Psychiatry, Emergency and Resuscitation Medicine, Critical Care, Pediatric Emergency Medicine, Neonatal Medicine, Advanced Surgical Practice, Pain Management, General Surgery, Clinical Microbiology and infectious diseases, Internal Medicine, Trauma & Orthopedics, Neurosurgery, Neurology, Cardiology, Stroke Medicine, Care of the Older Person, Family Medicine, Pediatrics and Child Health, Obesity & Weight Management, Women’s Health, Biotechnology in ART and many more”.
As per the available data, Africa has only 34.6% of the required doctors, nurses, and midwives. It is projected that by 2030, Africa would need additional 6.1 million doctors, nurses, and midwives*. “For Example, before the start of the Merck Foundation programs in 2012; there was not a single Oncologist, Fertility or Reproductive care specialists, Diabetologist, Respiratory or ICU specialist in many countries such as The Gambia, Liberia, Sierra Leone, Central African Republic, Guinea, Burundi, Niger, Chad, Ethiopia, Namibia among others. We are certainly creating historic legacy in Africa, and also beyond. Together with our partners like Africa’s First Ladies, Ministries of Health, Gender, Education and Communication, we are impacting the lives of people in the most disadvantaged communities in Africa and beyond.”, added Senator Dr. Kelej. Merck Foundation works closely with their Ambassadors, the African First Ladies and local partners such as; Ministries of Health, Education, Information & Communication, Gender, Academia, Research Institutions, Media and Art in building healthcare capacity and addressing health, social & economic challenges in developing countries and under-served communities. “I strongly believe that training healthcare providers and building professional healthcare capacity is the right strategy to improve access to equitable and quality at health care in Africa.
Therefore, I am happy to announce the Call for Applications for 2024 Scholarships for young doctors with special focus on female doctors for our online one-year diploma and two year master degree in 44 critical and underserved medical specialties, which includes both Online Diploma programs and On-Site Fellowship and clinical training programs. The applications are invited through the Office of our Ambassadors and long-term partners, The First Ladies of Africa and Ministry of Health of each country.” shared Dr . Kelej. “Our aim is to improve the overall health and wellbeing of people by building healthcare capacity across Africa, Asia and other developing countries. We are strongly committed to transforming patientcare landscape through our scholarships program”, concluded Senator Kelej.
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Interpol fugitive escapes from Botswana
John Isaak Ndovi, a Tanzanian national embroiled in controversy and pursued under a red notice by the International Criminal Police Organization (Interpol), has mysteriously vanished, bypassing a scheduled bail hearing at the Extension 2 Magistrate Court in Gaborone. Previously apprehended by Botswana law enforcement at the Tlokweng border post several months earlier, his escape has ignited serious concerns.
Accused of pilfering assets worth in excess of P1 million, an amount translating to roughly 30,000 Omani Riyals, Ndovi has become a figure of paramount interest, especially to the authorities in the Sultanate of Oman, nestled in the far reaches of Asia.
The unsettling news of his disappearance surfaced following his failure to present himself at the Extension 2 Magistrate Court the preceding week. Speculation abounds that Ndovi may have sought refuge in South Africa in a bid to elude capture, prompting a widespread mobilization of law enforcement agencies to ascertain his current location.
In an official communiqué, Detective Senior Assistant Police Commissioner Selebatso Mokgosi of Interpol Gaborone disclosed Ndovi’s apprehension last September at the Tlokweng border, a capture made possible through the vigilant issuance of the Interpol red notice.
At 36, Ndovi is implicated in a case of alleged home invasion in Oman. Despite the non-existence of an extradition treaty between Botswana and Oman, Nomsa Moatswi, the Director of the Directorate of Public Prosecution (DPP), emphasized that the lack of formal extradition agreements does not hinder her office’s ability to entertain extradition requests. She highlighted the adoption of international cooperation norms, advocating for collaboration through the lenses of international comity and reciprocity.
Moatswi disclosed the intensified effort by law enforcement to locate Ndovi following his no-show in court, and pointed to Botswana’s track record of extraditing two international fugitives from France and Zimbabwe in the previous year as evidence of the country’s relentless pursuit of legal integrity.
When probed about the potential implications of Ndovi’s case on Botswana’s forthcoming evaluation by the Financial Action Task Force (FATF), Moatswi reserved her speculations. She acknowledged the criticality of steering clear of blacklisting, suggesting that this singular case is unlikely to feature prominently in the FATF’s assessment criteria.