Rationing power and diluting petrol – how African countries are coping with effects of Iran war
Basillioh Rukanga,Nairobiand
Shingai Nyoka,Harare
South Sudan and Mauritius have both announced measures restricting electricity consumption due to the fuel crisis triggered by the US and Israel’s war in Iran, which is also affecting other countries across Africa.
South Sudan has begun rationing electricity in the capital, Juba, while Mauritius has imposed restrictions to reduce wastage especially in high-power consumption areas.
On Wednesday, Juba’s main electricity distributor, Jedco, said parts of the city would start experiencing daily power cuts on a rotational basis.
“Due to the ongoing Iran-US conflict… Jedco must proactively manage its available energy reserves… we are prioritising a strategic rationing of power,” it said.
The island nation of Mauritius is heavily dependent on oil imports for generating its electricity, with a shortage reportedly triggering an energy emergency.
According to the government, a shipment of oil that had been due to arrive over the weekend did not materialise, leaving the country with only 21 days of stock.
Energy Minister Patrick Assirvaden said on Monday that the government had obtained alternative fuel supplies from Singapore that were due to arrive on 1 April and more later in the month, but at a higher cost.
South Sudan has some of East Africa’s largest oil reserves, but the majority is exported, while it imports the refined product needed for fuel. According to the International Energy Agency, South Sudan generates 96% of its electricity from oil.
The power rationing comes on top of the intermittent cuts that have been ongoing since May last year due to maintenance operations.
Ereneo Mogga, an electric engineer who lives in one of the worst affected parts of Juba, told the BBC that power often goes off at 16:00 and doesn’t come back on until 04:00 the next day.
“This paralyses most businesses,” he said, adding that some of those who can afford it are switching to solar power.
“It is very expensive though, but it costs less in terms of consumption.”
With governments scrambling to find alternative sources of fuel, Zimbabwe has said it will increase the amount of ethanol it uses in its petrol, from 5% to 20%.
It has also announced plans to scrap some taxes on fuel imports to reduce fuel prices, which have risen 40% in less than a month.
One street vendor in the capital, Harare said the prices of everything had shot up since the war in Iran began.
Nicole Mazarura, who sells soft drinks from a push cart, told the BBC she can’t raise the price of the drinks so she has to bear the loss, while her transport costs had doubled, depending on the time of day and where she orders her products from.
“If transport costs go back to where they were, I can survive,” she said.
In Ethiopia, authorities have ordered fuel supply companies to prioritise security institutions, major government projects, key industries and the manufacture of essential goods.
The Ethiopian Oil and Energy Authority’s measures announced last week saw petrol stations prioritising public transport, as well as restrictions to conserve fuel.
Authorities in the Tigray region, where there are fears of a return to civil war, have announced a complete suspension of fuel supplies.
In Kenya, 20% of petrol stations are reportedly experiencing supply shortages.
An association representing petroleum outlets in the country has cited high demand for fuel because of panic buying, with stock levels running low.
Vivo Energy Kenya, which distributes Shell products and services in Kenya, said on Thursday that increased demand had resulted in “temporary stock-outs” at some of its service stations. It said it was monitoring the situation and was working to ensure there was fuel in the affected sites.
Kenya’s energy ministry on Wednesday denied that there was a shortage of fuel, accusing retailers of hoarding the commodity in anticipation of higher prices.
The minister, Opiyo Wandayi, also urged Kenyans not to engage in panic buying.
Neighbouring Uganda has assured citizens that the government is taking measures to ensure there is enough fuel, amid reports of shortages. The government has warned fuel distributors against increasing prices.
In South Africa, officials have said that the country has sufficient supplies but warn that a prolonged conflict could affect availability and prices in the coming months.
“South Africa’s fuel supply remains stable in the immediate term, and there is no basis for panic buying,” an official government statement said on Thursday.
However, some ports and marine services in southern and eastern Africa could benefit from tankers and containers avoiding the Red Sea and the Strait of Hormuz, and sailing around the Cape of Good Hope.
“The new longer routes are going to put increasing pressure on many of the offshore port areas in southern Africa – Walvis Bay, Cape Town, Durban, Maputo, Dar es Salaam,” says Senior Researcher, Institute for Security Studies, Timothy Walker.
“Ships will potentially be looking to stop there and resupply themselves, pick up new food supplies or new crew,” he told the BBC.
And Africa’s second largest oil producer, Nigeria could benefit from higher oil prices. It has offered to pump more oil to help meet global demand.
But even if the government and oil companies earn more revenue, “ordinary people may not feel the benefit immediately because if international petrol prices rise, transport costs increase everywhere,” Dumebi Oluwole, a lead economist from Lagos who specialises in oil, told the BBC.
Additional reporting by Makuochi Okafor, Michael Teferi, Nichola Mandil, Hafsa Khalil and Marco Oriunto
More on the Iran war’s impact on global fuel from the BBC: