HomeRegional NewsSouthern AfricaBotswana hikes electricity tariffs

Botswana hikes electricity tariffs

31 December 2007 – Electricity consumers in Botswana are due for an tariff increase, effective 1st January 2008. This appears to be the first increase in domestic tariffs by the Botswana Power Corporation (BPC) since September 2005.

electricitySays Tlhomamiso Selato, BPC’s head of public relations "There is a continuing reduction in the availability of surplus generating capacity in the region which is characterised by an increase in the cost of imports, consistent with the normal laws of supply and demand. There is also a difficulty in sourcing electricity from the Southern African Power pool."

Botswana imports more than 72% of its electricity requirements, with the bulk of that coming from South Africa.

"Payments for these imports are made in foreign currency and therefore the devaluation of the Pula against the Rand adversely affected the cost of imports. After the devaluation the Pula continued to depreciate against the Rand," Selato said.