It is envisaged that an independent power producer (IPP) will develop the power station. In an invitation to show interest, BPC says the "gestation period" for the IPP power plant should not be more than two years from January 1, 2008. The BPC will buy the capacity and energy from the developer through a power purchase agreement. It might also consider a build, own, operate and transfer arrangement. The closing date for the expressions of interest is December 14.
Current electricity demand in Botswana is estimated at 500 MW, which may rise to about 600 MW over the next three to four years. The BPC is worried about a supply gap, particularly during the 2010/11 period before its new generation investment, the four by 33-MW coal-fired Morupule power station, comes on stream in 2012. Imports contribute some 75 percent of total national energy consumption. BPC says the southern African region's ever-increasing demand for electricity is posing a significant challenge to regional power utilities. (Engineeringnews)
