Botswana`s electricity cost set to rise sharply

source: The Botswana Gazette
Wednesday, 30 June 2010 00:00

Botswana Power Corporation (BCP) chief executive officer (CEO) has said that the formulation of a tariff policy is in progress.

Speaking at the inaugural Energy Pitso hosted by the Ministry of Minerals, Energy and Water Resources, CEO Jacob Raleru indicated that there is a need to have cost reflective tariffs in place. He explained that the rural electrification programme is being undertaken at a cost and that government is subsidizing rural power use.

Also, Independent Power Producers (IPP) will require guarantees for a return on investment, hence the need to have transparent and cost reflective tariffs.

The need for a tariff policy comes as a way of addressing shortcomings of the current tariff policy framework and to ensure that the Morupule B Power Station Project is sustainable. This has been highlighted in the World Bank (WB) appraisal document for [continue reading]


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