Burundi's state-owned Société pétrolière du Burundi (Sopebu), established by presidential decree on February 20, 2024, to ensure "equitable distribution of petroleum products in the different localities of the country," has begun supplying fuel to a select group of beneficiaries, including deputies, amid a severe nationwide shortage. The creation of Sopebu specifically aimed to address challenges in the country's fuel supply chain and ensure fair access across all regions. Around February 2024, the country experienced significant fuel scarcity, prompting the government to establish Sopebu as a key player in managing this critical resource. Sopebu commenced its distribution efforts shortly after the June 2024 parliamentary session, with deputies being among the first groups to receive prioritized access. These privileged categories receive fuel without extensive queues, following a weekly schedule at dedicated points, a stark contrast to the experiences of ordinary citizens. Sopebu has not publicly disclosed the criteria used for selecting these beneficiaries, leading to questions and public frustration.
Faustin Ndikumana, a Burundian economist, stated, "It exists a real social injustice," emphasizing that fuel is a strategic product essential for mobility, public and private services, and economic activities. Ndikumana noted that the current rationing system for fuel unequivocally indicates insufficient national stock levels, a worrying sign for the country's economic stability. Gabriel Rufyiri, President of Olucome, noted that the scarcity of fuel is a major source of current tensions in Burundi. Rufyiri warned that a society cannot function sustainably when a minority benefits from privileges while the majority bears the consequences of scarcity. Ndikumana added, "What is happening currently defies understanding. Fuels are a strategic product par excellence. It is at the heart of the mobility of people and goods, the functioning of public and private services as well as economic activities. When it is lacking, the entire economy is paralyzed. The shortage also fuels inflation and accentuates the impoverishment of the population." He further explained that when a product becomes rare, it often fosters speculation and "clientelistic" practices within the market, exacerbating existing inequalities.
Privileged Access and Public Frustration
During a plenary session in June 2024, a deputy suggested shortening parliamentary work to allow fellow deputies to return home, noting the immediate and disruptive impact of fuel scarcity on daily operations, even for those with some level of prioritized access. The list of beneficiaries for Sopebu's prioritized distribution expanded significantly beyond just deputies. It came to include employees of several key ministries, such as National Defense, Interior and Public Security, Commerce, Finance, and Justice, as well as the State General Secretariat. Staff from the Bank of the Republic of Burundi (BRB) and the Burundi Revenue Authority (OBR) were also added to this growing list, granting them preferential treatment in accessing fuel. In addition to government entities, financial institutions, including commercial banks, and employees of international organizations also gained access to the preferential fuel distribution, further broadening the scope of those exempted from the general scarcity.
In stark contrast, taxi drivers and private individuals face waits of several weeks at conventional fuel stations, enduring significant delays and economic hardship. One taxi driver reported the severe impact of the shortage, stating that he had not received fuel from a station-service in over five months, crippling his ability to earn a living. Taxi drivers also incur significant operational costs, paying 15,000 FBu in municipal taxes and 20,000 FBu in parking fees, in addition to other annual taxes, making the lack of fuel an even greater burden. A private user, identified as N.D. Stated that a specific station-service was reserved exclusively for VIPs, namely employees of the OBR and the BRB, illustrating the clear two-tiered system in place.
Faustin Ndikumana, a Burundian economist, noted that the official fuel price remains around 4,000 FBu per liter for the minority with privileged access, while the parallel market price, driven by the severe shortage, can reach an exorbitant 15,000 FBu per liter. This vast price disparity shows the economic burden placed on the majority of the population. Gabriel Rufyiri, President of Olucome, added that current fuel prices in Burundi do not reflect regional market realities, where prices can often exceed 10,000 FBu per liter, suggesting that the official price is artificially low and unsustainable given the market conditions.
Jean Ndenzako, an observer, stated that "fuel is no longer allocated to those who need it most to produce wealth, transport goods or develop their activities, but according to administrative criteria." Ndenzako argued that "this hinders production, trade and services" across the economy. He further commented that "these steps mobilize time and resources without creating value for the economy," as individuals and businesses are forced to divert resources simply to obtain fuel rather than focusing on productive activities. Ndenzako concluded that the current distribution system "simply displaces the shortage" rather than resolving the underlying issue of scarcity. He explained, "While some are served as a priority, others wait longer or are forced to turn to the parallel market," noting the inequitable nature of the system. He added that the question is not whether to ration fuel during a shortage, but "how long such a system can be maintained without aggravating inequalities, slowing down economic activity and undermining citizens' trust in distribution mechanisms."
Expert Analysis of Systemic Issues
Economist Faustin Ndikumana stated that the current rationing system for fuel indicates insufficient national stock levels, a critical concern for the country's energy security and economic stability. Ndikumana further noted that when a product becomes scarce, it often fosters speculation and "clientelistic" practices within the market, leading to unfair advantages and corruption. To address these issues, Ndikumana suggested that setting the fuel price at a rate between 7,000 and 8,000 FBu per liter could equalize access for citizens, significantly reduce the black market by making it less profitable, and stimulate the broader economy by ensuring a more consistent supply and fairer pricing.
Gabriel Rufyiri, President of Olucome, attributed responsibility for the fuel scarcity squarely to the Burundian government and the Bank of the Republic of Burundi (BRB), stating they had failed to mobilize adequate foreign currency reserves for fuel imports. Rufyiri proposed that the importation and commercialization of fuel should revert to private economic operators, arguing that this approach would be more efficient and responsive to market demands. He drew a parallel between the current fuel shortage and a past sugar shortage in Burundi, which was effectively resolved when the government authorized private imports of sugar, demonstrating a precedent for private sector involvement in alleviating scarcity.
Calls for Equity and Reform
Gabriel Rufyiri, President of Olucome, stated that both the Constitution of Burundi and the country's 2040-2060 vision enshrine the fundamental principle of "social equity in the sharing of public goods." Rufyiri acknowledged that exceptions might exist for "certain essential state and security services" due to their critical nature, but he strongly emphasized that "these should never become the rule," warning against the normalization of privileged access. He questioned the selection criteria for institutions and categories of beneficiaries, stating, "we ignore the criteria that preside over the choice of institutions and categories of beneficiaries," noting the lack of transparency in Sopebu's operations. Rufyiri reiterated his firm belief that a society cannot function sustainably when a minority benefits from privileges while the majority bears the consequences of scarcity, stressing that "social justice, transparency, and good governance must guide public policies" to ensure stability and public trust. He noted that the current fuel scarcity creates ongoing frustration among the populace, explaining, "The scarcer a product is, the more coveted it becomes. As long as this shortage persists, frustrations will remain. We must manage the small quantities we have equitably." Rufyiri further stated that the primary responsibility for the fuel shortage lies with "the government and the BRB, who are unable to mobilize enough foreign currency to import fuel," adding that Sopebu operates "in an extremely difficult context and executes decisions that fall under other levels of responsibility," suggesting that Sopebu is a symptom rather than the root cause. He suggested that institutions should limit their role to regulation rather than combining control, import, and commercialization functions, advocating for a review of pricing policy "to promote the country's fuel supply." Rufyiri observed that while "the disruptions previously observed at service stations have greatly decreased," this "does not solve the fundamental problem: the availability of fuel," indicating that the current system merely manages the shortage rather than addressing its core.
Jean Ndenzako, an observer, advocated for a progressive reform of the fuel distribution system to ensure long-term sustainability and equity. This reform, according to Ndenzako, should include transparent price adjustments that reflect market realities and the implementation of strong protection mechanisms for vulnerable households, to mitigate the impact of price changes on the most economically disadvantaged segments of the population.
