The Minister of Industries, Mines and Energy (MIME), Modestus Amutse has dismissed claims of irregularities in the government's fuel supply arrangements for July to September 2026, saying the measures are aimed at protecting consumers from steep fuel price increases.

Amutse said the conflict in the Middle East disrupted global oil markets, forcing the government to spend more than 1 billion dollars to cushion Namibians from rising fuel costs. 

He noted that the National Energy Fund's surplus has been largely depleted after absorbing fuel under-recoveries and additional premiums charged on imports.

According to the minister, the government engaged local and international suppliers to secure fuel at the basic fuel price without added premiums. He said Vitol's proposal was selected because it could meet Namibia's full fuel demand without requiring public funds or financial guarantees.

Amutse added that the government is finalising Bulk Petroleum Import Coordination Regulations, expected to take effect by the end of September 2026, to centralise fuel imports, improve efficiency and reduce costs. He maintained that the current arrangement is a temporary measure designed to stabilise the economy, safeguard fuel supply and protect consumers.