Despite government’s lofty ideal of establishing the country as an energy exporter, some technocrats within the government enclave have warned against undertaking this idea on solo basis.
They noted that doing this in isolation without working in synergy with other regional planners may lead to “white elephant” investment. Cautioning government during a SADC ministerial high level policy dialogue recently, Deputy Permanent Secretary in the Ministry of Minerals and Energy, Nchena Mothebe, issued a warning to member states, urging them to merge their renewable energy plans.
He further raised the alarm that most of the SADC countries are developing similar models of investing in the energy sector with the aim to export, raising the question of, ‘who will be left to buy this excess power?’ Mothebe said planning is a challenge in the region. “There is a need to harmonise our planning because we are going to have what we call white elephants in terms of infrastructure once all the projects are developed and in place,” he noted. “Botswana is planning development of 1.5GW to 8GW solar plant. Other countries in the region are also planning generation with the view to export.m,” he explained.
According to the Deputy PS, the demand for Botswana is around 700MW, with the rest of the planned power output calling for ready off take agreements. “Our thermal plant, Morupule B is around 500MW. Morupule A is 100MW. If the plants were reliable, they would be covering our load. “A 1.5GW solar development calls for searching for external markets which comes with associated challenges in terms of regional integration,” he revealed. Mothebe highlighted the risk of overproduction if the region does not align its power generation plans. "We are planning massive local power generation here in Botswana, but I know, for example, that Lesotho is planning the same. Where will we sell this power?" he asked rhetorically. The technocrat warned that if the SADC countries continue these developments in isolation, it could result in even greater challenges, with investors demanding returns on their investments while there is no market for the excess power. In his February Budget Speech, the Minister of Finance, Ndaba Gaolathe, had shared that government was willing to invest in an 8, 000MW plant with the mandate of setting up a competitive energy landscape. “This approach will enable Botswana to scale up electricity production to at least 8, 000 MW within four years, laying the foundation for a more sustainable and competitive energy landscape,” he said then. “It is a decisive step towards fulfilling our commitment to reducing electricity costs by 30%, easing the financial burden on businesses and households alike,” he added.