Patience Makwele
Mines and Energy Minister Modestus Amutse says Namibia has enough fuel and there is no need for panic buying.
Amutse said fuel stocks can meet national demand for one to two months, with no expected supply disruptions.
“Namibia has enough fuel and there is no need for panic buying,” Amutse said.
He said this even when rising global oil prices push local pump costs higher.
Fuel prices are set to increase from 1 April 2026. Petrol will rise by N$2.50 per litre, while diesel will increase by N$4.00 per litre.
At Walvis Bay, petrol 95 will cost N$22.08 per litre, diesel 50 ppm N$23.63 and diesel 10 ppm N$23.73.
Namibia imports all its fuel and does not have an operational refinery. The country consumes about 1.1 billion litres each year, with diesel making up 70% and petrol 30%.
Amutse said the increase is driven by global oil prices, not local shortages.
Prices rose from about US$68 to over US$105 per barrel following the start of conflict involving the United States, Israel and Iran on 28 February.
The conflict has affected global supply routes, including the Strait of Hormuz, a narrow shipping corridor between Iran to the north and Oman and the United Arab Emirates (UAE) to the south.
The strait connects the Gulf to the Arabian Sea and carries about 20% of the world’s oil and liquefied natural gas.
Around 20 million barrels of oil pass through the strait each day, making it one of the most important energy routes in the world.
Disruptions in this corridor have driven up shipping costs, insurance premiums and global oil prices.
To cushion consumers, Namibia’s cabinet approved a 50% temporary reduction in fuel levies from April to June.
The National Energy Fund will also absorb part of the under-recovery, estimated at about N$500 million per month.
“The fuel pricing system continues to function as intended, balancing international market realities with the need to protect consumers from excessive volatility,” Amutse said.
Public fears ripple effect on prices
Economist John Steytler said higher fuel costs will affect the economy.
“Fuel is the bloodstream of the economy,” Steytler said. “When fuel prices rise, transport and logistics costs rise quickly. These costs are passed on to consumers through higher prices for goods and services.”
He said lower-income households and small businesses will feel the impact first.
“Transport costs rise almost instantly: taxi fares, freight, even school transport. The burden ends up on consumers,” he said.
“Without careful measures, ordinary Namibians, particularly those relying on taxis or running small businesses, will feel the pinch immediately. Even a small rise in fuel costs cascades through the economy, affecting everything from groceries to transport fees,” he said.
A 48-year-old taxi driver in Windhoek who prefers to go by the name Samuel said the fuel price increases are already affecting drivers.
“This is now a loss for some of us because the fuel has gone up while the taxi fare is still unchanged. Fares go up, meaning running losses. People are already complaining; when we tell customers prices should increase, they threaten to report us. Forgetting that if we don’t increase fares, we lose money. We are all paying for this: the government, us drivers, the passengers and everyone suffers,” he said.
A 32-year-old private motorist told the Windhoek Observer that rising costs are becoming difficult to manage.
“I feel trapped. Everything costs more, especially groceries, transport and bills. Salaries don’t change, but fuel keeps going up. How are we supposed to survive? Every month it’s the same story.”
Farmer Robert Sitali (55) in the Zambezi region said the increase will affect production.
“Tractors, generators, trucks – everything runs on diesel. If prices go up, my farm loses money. We already budget carefully, but this hike will hit hard. It’s not just fuel; it’s food, supplies, everything.”
Windhoek trader known as Meme Petrina said transport costs are affecting small businesses and with fuel prices set to increase, this will put more strain on them.
“I sell vegetables and bread. When transport costs go up, I cannot lower my prices, or I lose customers. If fuel keeps rising, I don’t know how we’ll manage this winter.”
Taxi commuter Mathew Iileni said the impact is immediate.
“I depend on taxis to get to work and college. If fares rise, I have to spend more just to go about my day. It’s like everything is getting stolen from us slowly, including fuel, food and transport.”
Steytler said the frustration from commuters and business owners reflects Namibia’s heavy reliance on road transport and imported fuel.
He noted that long distances and dependence on diesel-powered transport make households highly sensitive to even small price increases.
Countries begin rationing fuel
Namibia’s fuel supply chain relies on imports through Walvis Bay, supported by storage facilities such as the National Oil Storage Facility.
Across Africa, governments are taking measures to manage fuel pressure. South Sudan has started rationing electricity in Juba as fuel shortages affect power generation.
Mauritius declared an energy emergency after a delayed shipment left it with about 21 days of stock and is sourcing fuel from Singapore at a higher cost.
Zimbabwe is increasing ethanol blending in petrol from 5% to 20%. Ethiopia has ordered suppliers to prioritise key sectors such as security, industry and essential goods. In Kenya, about 20% of petrol stations are facing supply shortages.
While South Africa says it has enough supply but warns prolonged conflict could affect prices and availability.
Slovenia is the first country in Europe to introduce fuel rationing.
Despite this, Amutse said the government said it will continue to monitor developments and take steps to protect supply and manage price pressures.
