La Paz, July 26, 2026 – In today’s public debate, the concepts of “energy sovereignty” and “energy security” are often confused. While sovereignty is typically understood as an absolute and unrealistic form of self-sufficiency, energy security represents the real, strategic capacity of a State to guarantee the constant supply of energy that its economy demands.
The Myth of Absolute Sovereignty vs. the Reality of Security
Historically, Bolivia has been identified as a gas-producing country. However, since the beginning of this century, the inability to produce sufficient volumes of diesel has shattered the aspiration of sovereignty. Nevertheless, it is imperative to clarify that in the global economy, no country—not even major oil producers—is absolutely self-sufficient. Imports are a legitimate strategic tool to preserve one’s own reserves or optimize regional logistical costs. The true metric of a nation’s success is energy security: having the necessary logistics and foreign currency so that fuel supply never becomes a bottleneck. Countries like Chile, with limited hydrocarbon resources, demonstrate that efficient management of imports and logistics can shield an economy from shortages.
The Diagnosis
Bolivia currently faces a severe crisis, evidenced by the discontinuity in fuel supply and long queues at service stations. This scenario, in which the country imports nearly 90% of the diesel it consumes, is the result of the failed model of the last 20 years, marked by six critical factors:
1. Productive decline: Inadequate energy policies over the last two decades have caused a systematic drop in reserves and hydrocarbon production.
2. Currency crisis: The scarcity of dollars prevents the timely purchase of fuels on the international market.
3. Exchange rate instability: The lack of financial certainty disrupts the essential cycle of import and commercialization.
4. Inefficient logistics: Extreme dependence on tanker truck transport, a slow and costly model given current needs.
5. Subsidy distortion: The scheme of artificially low prices not only encourages smuggling to neighboring countries but also disincentivizes investment in renewable energy.
6. Institutional weakness: The lack of oversight and quality certifications in fuel imports has compromised the efficiency of the vehicle fleet and the integrity of the supply.
Toward a New Horizon
Overcoming this crisis does not admit immediate or populist solutions; it requires a long-term process based on two fundamental pillars:
* In hydrocarbons: It is urgent to reactivate exploration and exploitation by attracting private venture capital. This demands a profound regulatory reform that restores legal certainty and investor confidence, along with a general adjustment of costs to realistic levels.
* In the electricity matrix: Bolivia needs to move away from dependence on gas—the reserves of which are in clear decline—toward a diversified model. It is vital to implement a National Energy Transition Plan that establishes clear investment goals, key actors, and timelines to harness the country’s vast potential in renewable sources: hydroelectric, solar, wind, biomass, and geothermal energy.
Bolivia’s energy future depends on our ability to abandon dogmas, modernize our institutions, and embrace a comprehensive, efficient, and sustainable energy security strategy.
Best regards,
Francesco