Press Freedom Index: Botswana drops
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Botswana continues on a downward spiral on press freedom. Although Botswana has seen a decline in the most serious abuses against journalists in recent years, many obstacles still hinder their work. Botswana ranked 39th in 2020, the country saw an improvement in ranking in 2021 to position 38th. This year the countrys rank has nosedived by 57 spots to position 95 for the year 2022, from a total of 180 countries.
The 20th World Press Freedom Index published by Reporters Without Borders (RSF) revealed that the media landscape locally especially state media still falls far short of providing a public news service and continues to be under the governments sway adding that a proposal to transform state broadcasting into a more independent public service was recently rejected. In order to reflect press freedoms complexity, five new indicators were used to compile the Index: the political context, legal framework, economic context, sociocultural context, and security.
Botswana ranked 86th globally on the Political context. Government control of the state-owned media is such that public TV and radio broadcasting policy is decided by the presidents office. The privately owned broadcast media are supervised by the Botswana Communications Regulatory Authority (BOCRA), which reports directly to the government. The allocation of advertising is also managed by the presidents office and is used to exert political pressure on privately owned media outlets, says the report.
122nd on Legal framework scale, Botswanas legal framework is said to be extremely repressive. Stating; the president has yet to honour his pledge to revise draconian laws such as the 2008 Media Practitioners Act, while the promised freedom of information law has yet to see the light of day. The legislative arsenal was reinforced in response to the Covid-19 pandemic and now publishing information about the pandemic from any source other than the director of public health or the WHO is punishable by up to five years in prison.
116th on Economic context; Development of the media is limited by the small size of the advertising market, which is dominated by public procurement notices. Advertising is not allocated equitably but in accordance with the degree to which media outlets toe the government line. The decline in advertising revenue as a result of the pandemic has fuelled self-censorship by media outlets seeking to retain advertisers. Sociocultural context ranking 85th; very few women hold positions of responsibility in the media. Only one of Botswanas 13 newspapers is run by a woman.
After an alarming decline in press freedom under President Ian Khama, Botswana secured the 75th spot for Security. The report disclosed; the situation has improved markedly since Mokgweetsi Masisi became president in 2018. While journalists are rarely detained or arrested, they are sometimes the victims of police violence, especially during protests, and the intelligence services use spyware to monitor their communications. Journalists are also often subjected to social media smear campaigns.
Botswana Media and Allied Workers Union (BOMAWU) President, Phillimon Mmeso when asked about whether the drop is a sign that Botswana is becoming a dangerous place for media, he highlighted that the main challenge is digital media which is not regulated especially the faceless pages which report mostly fake news. He concurred with the RSF that although Botswana has dropped in ranking, comparing to the previous regime, Botswana has fared well.
The index also showed a two-fold increase in polarisation amplified by information chaos that is, media polarisation fuelling divisions within countries, as well as polarisation between countries at the international level world wide. The index highlighted that Media polarisation is feeding and reinforcing internal social divisions in democratic societies such as the United States 42nd on the index, despite American President Joe Bidens election. The increase in social and political tension is fuelled by social media and new opinion media, especially in France.
The suppression of independent media is contributing to a sharp polarisation in illiberal democracies such as Poland 66th, where the authorities have consolidated their control over public broadcasting and their strategy of re-Polonising the privately-owned media. The RSF barometer recorded journalists whose death or imprisonment was linked to their journalistic activity.
The abuses worldwide in real time show that since January 1st 2022, 25 journalists and 2 media workers have been killed around the world summing it to 27 deaths while 460 journalists and 19 media workers are currently imprisoned. Vietnam currently carries the highest number of imprisoned journalists at 41 with cases ongoing since 2009 to date. The worlds 10 worst countries for press freedom include Myanmar (176th), where the February 2021 coup détat set press freedom back by 10 years, as well as China, Turkmenistan (177th), Iran (178th), Eritrea (179th) and North Korea (180th).
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FaR property assets value clock P1.47 billion
FaR Property Company (FPC) Limited, a property investment company listed on the Botswana Stock Exchange, has recently announced its exceptional financial results for the year 2023. The company’s property asset value has risen to P1.47 billion, up from P1.42 billion in the previous year.
FPC has a diverse portfolio of properties, including retail, commercial, industrial, and residential properties in Botswana, South Africa, and Zambia. The company owns a total of 186 properties, generating rental revenues from various sectors. In 2023, the company recorded rental revenues of P11 million from residential properties, P62 million from industrial properties, and P89 million from commercial properties. Overall, the company’s total revenues increased by 9% to P153 million, while profit before tax increased by 22% to P136 million, and operating profit increased by 11% to P139 million.
One notable achievement for FPC is the low vacancy rate across its properties, which stands at only 6%. This is particularly impressive considering the challenging trading environment. The company attributes this success to effective lease management and the leasing of previously vacant properties in South Africa. FPC’s management expressed satisfaction with the results, highlighting the resilience of the company in the face of ongoing macroeconomic challenges.
The increase in profit before tax can be attributed to both an increase in income and effective control of operating expenses. FPC managed to achieve these results with fewer employees, demonstrating the company’s efficiency. The headline earnings per linked unit also saw an improvement, reaching 26.92 thebe, higher than the previous year.
Looking ahead, FPC remains confident in its competitiveness and growth prospects. The company possesses a substantial land bank, which it plans to develop strategically as opportunities arise. FPC aims for managed growth, focusing on consumer-driven developments and ensuring the presence of supportive tenants. By maintaining this approach, the company believes it can sustainably grow its property portfolio and remain competitive in the market.
In terms of the macroeconomic environment, FPC noted that inflation rates are decreasing towards the 3% to 6% range approved by the Bank of Botswana. This is positive news for the company, as it hopes for further decreases in interest rates. However, the fluctuating fuel prices, influenced by global events such as the war in Ukraine and oil output reductions by Russia and other Middle Eastern countries, continue to impact businesses, including some of FPC’s tenants.
FPC’s property portfolio includes notable assets such as a shopping mall in Francistown with Choppies Hyper as the anchor tenant, Borogo Mall located on the A33 main road near the Kazungula ferry crossing, and various industrial and commercial properties in Gaborone leased to Choppies, Senn Foods, and Clover Botswana. The company also owns a shopping mall in Mafikeng and Rustenburg in South Africa.
The majority of FPC’s properties, 85%, are located in Botswana, followed by 12% in South Africa and 3% in Zambia. With its strong financial performance, competitive position, and strategic land bank, FPC is well-positioned for continued growth and success in the property market.
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BPC Signs PPA with Sekaname Energy
The Botswana Power Corporation (BPC) has taken a significant step towards diversifying its energy mix by signing a power purchase agreement with Sekaname Energy for the production of power from coal bed methane in Mmashoro village. This agreement marks a major milestone for the energy sector in Botswana as the country transitions from a coal-fired power generation system to a new energy mix comprising coal, gas, solar, and wind.
The CEO of BPC, David Kgoboko, explained that the Power Purchase Agreement is for a 6MW coal bed methane proof of concept project to be developed around Mmashoro village. This project aligns with BPC’s strategic initiatives to increase the proportion of low-carbon power generation sources and renewable energy in the energy mix. The use of coal bed methane for power generation is an exciting development as it provides a hybrid solution with non-dispatchable sources of generation like solar PV. Without flexible base-load generation, the deployment of non-dispatchable solar PV generation would be limited.
Kgoboko emphasized that BPC is committed to enabling the development of a gas supply industry in Botswana. Sekaname Energy, along with other players in the coal bed methane exploration business, is a key and strategic partner for BPC. The successful development of a gas supply industry will enable the realization of a secure and sustainable energy mix for the country.
The Minister of Minerals & Energy, Lefoko Moagi, expressed his support for the initiative by the private sector to develop a gas industry in Botswana. The country has abundant coal reserves, and the government fully supports the commercial extraction of coal bed methane gas for power generation. The government guarantees that BPC will purchase the generated electricity at reasonable tariffs, providing cash flow to the developers and enabling them to raise equity and debt funding for gas extraction development.
Moagi highlighted the benefits of developing a gas supply industry, including diversified primary energy sources, economic diversification, import substitution, and employment creation. He commended Sekaname Energy for undertaking a pilot project to prove the commercial viability of extracting coal bed methane for power generation. If successful, this initiative would unlock the potential of a gas production industry in Botswana.
Sekaname Energy CEO, Peter Mmusi, emphasized the multiple uses of natural gas and its potential to uplift Botswana’s economy. In addition to power generation, natural gas can be used for gas-to-liquids, compressed natural gas, and fertilizer production. Mmusi revealed that Sekaname has already invested $57 million in exploration and infrastructure throughout its resource area. The company plans to spend another $10-15 million for the initial 6MW project and aims to invest over $500 million in the future for a 90MW power plant. Sekaname’s goal is to assist BPC in becoming a net exporter of power within the region and to contribute to Botswana’s transition to cleaner energy production.
In conclusion, the power purchase agreement between BPC and Sekaname Energy for the production of power from coal bed methane in Mmashoro village is a significant step towards diversifying Botswana’s energy mix. This project aligns with BPC’s strategic initiatives to increase the proportion of low-carbon power generation sources and renewable energy. The government’s support for the development of a gas supply industry and the commercial extraction of coal bed methane will bring numerous benefits to the country, including economic diversification, import substitution, and employment creation. With the potential to become a net exporter of power and a cleaner energy producer, Botswana is poised to make significant strides in its energy sector.
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UDC deadlock: Boko, Ndaba, Reatile meet Â
It is not clear as to when, but before taking a festive break in few weeksâ time UDC leaders would have convened to address the ongoing deadlock surrounding constituency allocation in the negotiations for the 2024 elections. The leaders, Duma Boko of the UDC, Mephato Reggie Reatile of the BPF, and Ndaba Gaolathe of the AP, are expected to meet and discuss critical matters and engage in dialogue regarding the contested constituencies.
The negotiations hit a stalemate when it came to allocating constituencies, prompting the need for the leaders to intervene. Representatives from the UDC, AP, and BPF were tasked with negotiating the allocation, with Dr. Patrick Molotsi and Dr. Philip Bulawa representing the UDC, and Dr. Phenyo Butale and Wynter Mmolotsi representing the AP.
The leaders’ meeting is crucial in resolving the contentious issue of constituency allocation, which has caused tension among UDC members and potential candidates for the 2024 elections. After reaching an agreement, the leaders will engage with the members of each constituency to gauge their opinions and ensure that the decisions made are favored by the rank and file. This approach aims to avoid unnecessary costs and conflicts during the general elections.
One of the main points of contention is the allocation of Molepolole South, which the BNF is adamant about obtaining. In the 2019 elections, the UDC was the runner-up in Molepolole South, securing the second position in seven out of eight wards. Other contested constituencies include Metsimotlhabe, Kgatleng East and West, Mmadinare, Francistown East, Shashe West, Boteti East, and Lerala Maunatlala.
The criteria used for constituency allocation have also become a point of dispute among the UDC member parties. The issue of incumbency is particularly contentious, as the criterion for constituency allocation suggests that current holders of UDC’s council and parliamentary seats should be given priority for re-election without undergoing primary elections. Disadvantaged parties argue that this approach limits democratic competition and hinders the emergence of potentially more capable candidates.
Another disputed criterion is the allocation based on the strength and popularity of a party in specific areas. Parties argue that this is a subjective criterion that leads to disputes and favoritism, as clear metrics for strength and visibility cannot be defined. The BNF, in particular, questions the demands of the new entrants, the BPF and AP, as they lack a traceable track record to support their high expectations.
The unity and cohesion of the UDC are at stake, with the BPF and AP expressing dissatisfaction and considering withdrawing from the negotiations. Therefore, it is crucial for the leaders to expedite their meeting and find a resolution to these disputes.
In the midst of these negotiations, the BNF has already secured 15 constituencies within the UDC coalition. While the negotiations are still ongoing, BNF Chairman Dr. Molotsi revealed that they have traditionally held these constituencies and are expecting to add more to their tally. The constituencies include Gantsi North, Gantsi South, Kgalagadi North, Kgalagadi South, Good Hope â Mmathethe, Kanye North, Kanye South, Lobatse, Molepolole North, Gaborone South, Gaborone North, Gaborone Bonnignton North, Takatokwane, Letlhakeng, and Tlokweng.
The resolution of the contested constituencies will test the ability of the UDC to present a united front in the 2024 National Elections will depend on the decisions made by the three leaders. It is essential for them to demonstrate maturity and astuteness in resolving the constituency allocation deadlock and ensuring the cohesion of the UDC.