Namibia has secured its bulk petrol and diesel supply for the next three months at below the Basic Fuel Price (BFP), with the deal expected to save about N$220.5 million.

Minister of Industries, Mines and Energy Modestus Amutse announced that the TotalEnergies bidding group, with TOTSA as the supplying member, was selected as the successful bidder following an open competitive process. The agreement covers approximately 345.3 million litres of fuel for November 2026 to January 2027, comprising 246.9 million litres of diesel and 98.4 million litres of petrol. According to Amutse, the winning bid provides a discount of 61 cents per litre on diesel and 71 cents per litre on petrol, resulting in an average discount of 63.85 cents per litre across the two products. “The winning bid offers a discount of 61 cents per litre on diesel and 71 cents per litre on petrol,” Amutse said.

The Ministry estimates that this will translate into savings of approximately N$220.5 million compared with the current arrangement. The savings will flow into the national fuel price account, known as the slate, managed under the National Energy Fund. Amutse said this would strengthen the Ministry’s ability to keep pump prices stable for motorists and the economy. “This round, we have gone a step further. All four companies that submitted bids offered to supply at a discount to the BFP.

Not a single bidder asked for a premium,” he said. He said Namibia’s bulk fuel supply costs had moved from a premium above the benchmark, to the benchmark itself, and now below the benchmark. “In short, the price of supplying Namibia’s fuel has moved from a premium, to the benchmark, and now to below the benchmark,” Amutse said. The bids were assessed on qualification, price, supply risk, and the standing and track record of each supplier. “The winner was chosen strictly on these criteria,” Amutse said.

The first shipment is expected to arrive in November, with deliveries planned to maintain security of supply through January. Amutse said the Ministry would continue using open competition to secure fuel “on the best possible terms”, while ensuring that the country’s security of supply is not compromised.

By Eileen van der Schyff