Morupule B failures retard economic growth
Tuesday, January 13, 2015
Morupule B power station's four units broke down between September and October last year.
According to figures recently released by Statistics Botswana (SB), economic growth measured by real Gross Domestic Product (GDP) went up by 5.4 percent in the third quarter of 2014 compared to 6.9 percent accrued in the same quarter in 2013.
Despite robust economic activity in diamond production, trade and finance sectors, the break down of the Morupule B power station reduced the electricity sector’s value addition while pushing up power imports in the period.
Whilst celebrating milestones in inclusivity, with notably P5 billion awarded to vulnerable groups, the report sounds a 'siren' on a dangerous and growing trend: the ballooning use of micro-procurement. That this method, designed for small-scale, efficient purchases, now accounts for a staggering 25% (P8 billion) of total procurement value is not a sign of agility, but a 'red flag'. The PPRA’s warning is unequivocal and must be...