The Government, through the Ministry of Minerals and Energy, has provided an update on the current electricity supply situation and the measures being taken to ensure continued energy security, reliability, and system integrity.
In the past week, Botswana Power Corporation (BPC) commenced rotational load management to align national demand with available supply. “This decision, though regrettable, is a necessary operational response to preserve the stability of the national grid and prevent the risk of a wider system disturbance,” the Ministry stated. Acknowledging the inconvenience caused to citizens, businesses, and institutions, the Ministry expressed appreciation for the public’s understanding and cooperation. “Government remains fully engaged in efforts to restore optimal power supply as swiftly and sustainably as possible.”
The power supply situation has become precarious due to multiple factors. The Ministry cited ongoing defects at Morupule B, noting that “the plant has not achieved the international standard of an Energy Availability Factor (EAF) of 85% due to substandard construction.” Since its commercial operation in 2013, the plant’s availability has fluctuated, with frequent boiler tube failures. “Currently, the country is experiencing low internal generation due to the cascaded failure of Morupule B Unit 2 on February 14, 2025, and Unit 4 on March 22, 2025, while Unit 3 is on long-term planned outage for defects remediation. This leaves only one unit in service, operating at a reduced load of 105MW instead of 150MW.”
The Ministry further pointed out that “there is a lack of a clear mitigation plan and urgent production of electricity despite 13 years of failed installed capacity at Morupule B.” Delays in remedial works and continued reliance on imports have exacerbated supply challenges. Additionally, “there is a regional power shortage, and the available electricity in the market, especially during peak periods, is predominantly supplied from emergency diesel plants at prohibitive rates.” The rising cost of imports from South Africa is another concern. “Emergency power rates from Eskom have increased by 166%, from 85 thebe to 226 thebe, and most recently to 550 thebe.”
BPC is also struggling financially, with a significant debt burden. “The Corporation’s creditor balances stood at P2.6 billion as of January 31, 2025.” Currently, BPC’s tariffs are set at P1.27 per kilowatt-hour, which is significantly lower than neighboring countries like South Africa and Namibia, where tariffs average P2.78 and P2.06 per kilowatt-hour, respectively. “BPC has been importing emergency power at tariffs as high as P4.65 per kWh and selling it to consumers at an average of P1.27 per kWh, leading to an immediate deficit of P3.38 per kWh,” the Ministry disclosed. Over the past 13 years, BPC has spent more than P33 billion on Morupule, including P5.7 billion on operations and maintenance, P18 billion on imports, and ongoing loan repayments to ICBC and BPOPF totaling P840 million annually, against electricity sales revenues of only P430 million.
To address these financial and supply challenges, the Ministry revealed that “BPC is financially stressed, and we are putting together a rescue plan and debt restructuring.” Key to this plan is “adjusting tariffs in the short to medium term, renegotiating a better-priced and stable guaranteed supply from Eskom, unbundling BPC, and engaging with our creditors on Morupule B, especially the Chinese government.”
The government is taking immediate steps to stabilize power supply. “BPC is in the process of recovering Unit 2 and Unit 4 at Morupule B. Unit 4 is expected to be back in service by April 1, 2025, while Unit 2 is scheduled for April 17, 2025.” Negotiations are ongoing with South Africa for a stable guaranteed supply. “We will meet the South African Minister of Electricity on April 3, 2025, to finalize our agreement.” The government is also working on securing new coal-fired base load generation, stating that “we are in discussions to procure a 615MW base load coal-fired power station, expected to take 18-24 months to deliver, while maintaining the tendered 600MW Mmamabula power project by Jindal.”
Efforts to diversify energy sources are being accelerated. “The government has upgraded and expedited the renewable energy yield to 1.5GW (1500MW) through distributed solar projects.” A request for proposals (RFP) will be published on April 4, 2025, for projects including “500MW in Maun, 500MW in Letlhakane, 400MW in Isang, and 100MW in Jwaneng.” These projects aim to contribute to the country’s energy mix and address demand in the short-to-medium term.
“Security of supply will only be at the desired level post-2027 when new coal-fired base load generation is fully integrated into the grid,” the Ministry cautioned. However, immediate measures are expected to stabilize supply in the short term. “This weekend, we anticipate stabilizing supply based on Morupule A generating 42MW, Morupule B Units 1 and 4 coming online with 182MW, and a negotiated stable supply of 200MW from South Africa. Morupule B Unit 2 is expected back online on April 17 with 150MW.”
The government reiterated its commitment to energy security. “We remain committed to our targets of ‘Affordable all access by 2030,’ ‘Energy security and exports by 2030,’ and ‘Energy mix 50/50 by 2030.’” The Ministry assured the public that it will continue working closely with BPC and stakeholders to manage the current situation and implement long-term solutions. “We encourage the public to support national energy-saving efforts and use electricity responsibly during this period. We are confident that our current interventions will stabilize power supply and build the foundation for a secure and sustainable energy future.”
