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Why Mokaila is rejecting the new Water Ministry

The Minister of Minerals Energy and Water Resources, Kitso Mokaila could find himself between a rock and a hard place as he is likely to make a decision on whether he takes up a proposed Water sector ministry or he shafts himself to the back bench.

Early indications are that the hard working minister is not a fan of the proposed breakaway Ministry because of its plethora of problems with the compounding nag being lack of financial resources.

With President Lt Gen Dr Ian Khama expected to announce a cabinet reshuffle soon after the adoption of proposed names of two additional Members of Parliament, Mokaila’s current Ministry is expected to be one of the major catalysts in the reshuffle as it will be split.

According to information gathered by this publication Mokaila is not interested in leading a broke Ministry. With the latest budget strategy paper released by the Ministry of Finance and Development Planning painting an unfavourable budgeting environment, and projecting a deficit, cash injection into the financially limping Water Utilities Corporation (WUC) is almost a nullity. WUC is expected to the anchor parastatal of the newly proposed Ministry.

Close associates of the Minister have revealed that he would rather be a member of the ruling Botswana Democratic Party’s back bench. “The lack of financial resources to support some of the envisaged projects in the water sector seems to be a stumbling block for him. He prefers the minerals and energy sector, which he believes have gone through teething problems but prospects for financing some projects in this sector are promising. The lack of financing in the water sector is almost a setup for failure,” said a BDP Member of Parliament who sympathises with Mokaila. 

Another Ministry which will carry the cash loaded sectors of mining and energy is likely to be given to one of the two people who will be adopted by Parliament as additional Specially Elected legislators. The capitalisation of projects under the two sectors is known to be steep but prospects for success in securing funders are always positive. Mokaila, should he take up the Water Ministry will also be tasked with dealing waste water issues, and currently the WUC needs serious capitalisation to effectively carry out the function.

THE CONUNDRUM FACING WUC

WUC needs a whopping P170 billion to contain the water crisis threatening Botswana. This is contained in a report from a study that was sanctioned by President Lt. Gen. Ian Khama that WUC carry out a “comprehensive assessment of water and wastewater situation” in the country.

According to the report, which was presented to not only Minister of Minerals, Energy and Water resources (MMEWR) but also to a full cabinet last year, WUC conceded that “the water situation requires immediate attention with huge resources.” The total amount of P170 billion is divided between water and wastewater interventions as well as among short, medium and long term.

For water, the government will need P165 billion while for waste water a total of close to P5 billion will be required. Botswana’s budget as presented by Minister of Finance and Development Planning Kenneth Matambo last year stood at a sum of P11 billion and it remains to be seen where government will source out the P170 billion  to totally control the water situation in the country. The latest projection by the Ministry of Finance predicts a deficit as well.

Some sources in the top management at WUC had told this publication that efforts will be made to rope in private sector to contribute in the water security as a development process of the country. Some of the top priority projects North-South carrier scheme upgrading works estimated at P1.53 billion (funding available) and to be implemented from now till February 2017.

There will also be a North-South carrier 2.2 pipeline and associated works, Gaborone Wastewater reclamation plant, and Chobe Zambezi water transfer scheme at 66 billion and to take close to 7 years but funds are not available. Other projects include Gaborone master plan, Lobatse Masterplan, refurbishment of Mambo wastewater treatment works as well as Boteti southern and central cluster which will cost around 4 billion and 3 years.

According to the report, some projects include national water loss control project, Letlhakane wastewater, north East and Tutume sub district, and Selibe Phikwe Serule Transfer Scheme which are scheduled to take around 3 years at the cost of 3 billion – are also in the plan of the projects.

The executive was also reminded that some of the action points should be to “develop and enhance water governance – development of trade effluent agreement, development of the regulator, enhancement of institutions.” The report suggests that there is need to profile consumers against water quality required, citing Agriculture and mining requiring less potable water for their operations.

“Reinforcing the culture of conversation and demand management emphasising on huge consumers recycling water – this include institutions such as BMC, boarding schools, and, build water efficiency into building codes with all households urged to have rain water harvesting.”

The report analysed the 16 management centres across the country, national surface and groundwater sources versus demand clusters prior to the 2008 water sector reforms. Cabinet was told that “only 2 management centres of Kanye and Lobatse are in a bad situation whilst Ghanzi, Tsabong and Masunga require closer monitoring – as their situation is also undesirable. Generally the country reflects a healthy view with regards to water sources. 

Through the map, WUC illustrated that the Maun, Ghanzi, Lobatse and Kanye management centres have acute water supply deficit of more than 30%. “Basically the picture reflects extreme infrastructure deficits generally throughout the country.

It was also highlighted that many parts of the country experience serious water loss ranging from 16 – 58% and these include parts of Tsabong, Kanye, Lobatse, Molepolole, Ghanzi, Maun, Kasane, Masunga, Serowe and Mochudi. The only areas that have acceptable water losses are Gaborone, Palapye, Francistown, Selebi Phikwe and Letlhakane management centres.

The report further states that areas currently with conventional sewerage system are: Maun, Gaborone, Kasane, Ghanzi, Francistown, Selibe Phikwe, Tonota, Palapye, Serowe, Mahalapye, Shoshong, Bobonong, Mochudi, Mogoditshane, Tlokweng, Gabane, Lobatse, Goodhope, Jwaneng, Ramotswa and Orapa.

“Out of these only Gaborone, Francistown, Jwaneng and Selibe Phikwe have huge potential for reclamation.” However they need to be refurbished and upgraded to improve efficiency, report says.

The study found that Trade Effluent Agreements need to be put in place to ensure pre-treatment prior to discharging into the system – Botswana Meat Commission (BMC), tannery, poultry, textiles are cited as examples in the report. Effluent currently being discharged into the environment should be further treated for re-use.

It is understood that the total quantity that can be reclaimed from these systems is 50% as minimum of treatment plant capacity.

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Masisi to dump Tsogwane?

28th November 2022

Botswana Democratic Party (BDP) and some senior government officials are abuzz with reports that President Mokgweetsi Masisi has requested his Vice President, Slumber Tsogwane not to contest the next general elections in 2024.

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African DFIs gear to combat climate change

25th November 2022

The impacts of climate change are increasing in frequency and intensity every year and this is forecast to continue for the foreseeable future. African CEOs in the Global South are finally coming to the party on how to tackle the crisis.

Following the completion of COP27 in Egypt recently, CEOs of Africa DFIs converged in Botswana for the CEO Forum of the Association of African Development Finance Institutions. One of the key themes was on green financing and building partnerships for resource mobilization in financing SDGs in Africa

A report; “Weathering the storm; African Development Banks response to Covid-19” presented shocking findings during the seminar. Among them; African DFI’s have proven to be financially resilient, and they are fast shifting to a green transition and it’s financing.

COO, CEDA, James Moribame highlighted that; “Everyone needs food, shelter and all basic needs in general, but climate change is putting the achievement of this at bay. “It is expensive for businesses to do business, for instance; it is much challenging for the agricultural sector due to climate change, and the risks have gone up. If a famer plants crops, they should be ready for any potential natural disaster which will cost them their hard work.”

According to Moribame, Start-up businesses will forever require help if there is no change.

“There is no doubt that the Russia- Ukraine war disrupted supply chains. SMMEs have felt the most impact as some start-up businesses acquire their materials internationally, therefore as inflation peaks, this means the exchange rate rises which makes commodities expensive and challenging for SMMEs to progress. Basically, the cost of doing business has gone up. Governments are no longer able to support DFI’s.”

Moribame shared remedies to the situation, noting that; “What we need is leadership that will be able to address this. CEOs should ensure companies operate within a framework of responsible lending. They also ought to scout for opportunities that would be attractive to investors, this include investors who are willing to put money into green financing. Botswana is a prime spot for green financing due to the great opportunity that lies in solar projects. ”

Technology has been hailed as the economy of the future and thus needs to be embraced to drive operational efficiency both internally and externally.

Executive Director, bank of Industry Nigeria, Simon Aranou mentioned that for investors to pump money to climate financing in Africa, African states need to be in alignment with global standards.

“Do what meets world standards if you want money from international investors. Have a strong risk management system. Also be a good borrower, if you have a loan, honour the obligation of paying it back because this will ensure countries have a clean financial record which will then pave way for easier lending of money in the future. African states cannot just be demanding for mitigation from rich countries. Financing needs infrastructure to complement it, you cannot be seating on billions of dollars without the necessary support systems to make it work for you. Domestic resource mobilisation is key. Use public money to mobilise private money.” He said.

For his part, the Minster of Minister of Entrepreneurship, Karabo Gare enunciated that, over the past three years, governments across the world have had to readjust their priorities as the world dealt with the effects and impact of the COVID 19 pandemic both to human life and economic prosperity.

“The role of DFIs, during this tough period, which is to support governments through countercyclical measures, including funding of COVID-19 related development projects, has become more important than ever before. However, with the increasingly limited resources from governments, DFIs are now expected to mobilise resources to meet the fiscal gaps and continue to meet their developmental mandates across the various affected sectors of their economies.” Said Gare.

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TotalEnergies Botswana launches Road safety campaign in Letlhakeng

22nd November 2022

Letlhakeng:TotalEnergies Botswana today launched a Road Safety Campaign as part of their annual Stakeholder Relationship Management (SRM), in partnership with Unitrans, MVA Fund, TotalEnergies Letlhakeng Filling Station and the Letlhakeng Sub District Road Safety Committee during an event held in Letlhakeng under the theme, #IamTrafficToo.

The Supplier Relationship Management initiative is an undertaking by TotalEnergies through which TotalEnergie annually explores and implements social responsibility activities in communities within which we operate, by engaging key stakeholders who are aligned with the organization’s objectives. Speaking during the launch event, TotalEnergies’ Operations and HSSEQ,   Patrick Thedi said,  “We at TotalEnergies pride ourselves in being an industrial operator with a strategy centered on respect, listening, dialogue and stakeholder involvement, and a partner in the sustainable social and economic development of its host communities and countries. We are also very fortunate to have stakeholders who are in alignment with our organizational objectives. We assess relationships with our key stakeholders to understand their concerns and expectations as well as identify priority areas for improvement to strengthen the integration of Total Energies in the community. As our organization transitions from Total to Total Energies, we are committed to exploring sustainable initiatives that will be equally indicative of our growth and this Campaign is a step in the right direction. ”

As part of this campaign roll out, stakeholders  will be refurbishing and upgrading and installing road signs around schools in the area, and generally where required. One of the objectives of the Campaign is to bring awareness and training on how to manage and share the road/parking with bulk vehicles, as the number of bulk vehicles using the Letlhakeng road to bypass Trans Kalahari increases. When welcoming guests to Letlhakeng, Kgosi Balepi said he welcomed the initiative as it will reduce the number of road incidents in the area.

Also present was District Traffic Officer ASP, Reuben Moleele,  who gave a statistical overview of accidents in the region, as well as the rest of the country. Moleele applauded TotalEnergies and partners on the Campaign, especially ahead of the festive season, a time he pointed out is always one with high road statistics. The campaign name #IamTrafficToo, is a reminder to all road users, including pedestrians that they too need to be vigilant and play their part in ensuring a reduction in road incidents.

The official proceedings of the day included a handover of reflectors and stop/Go signs to the Letlhakeng Cluster from TotalEnerigies, injury prevention from tips from MVA’s Onkabetse Petlwana, as  well as  bulk vehicle safety tips delivered from Adolf Namate of Unitrans.

TotalEnergies, which is committed to having zero carbon emissions by 2050,  has committed to rolling out the Road safety Campaign to the rest of the country in the future.

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