03 Aug 2026

Government is currently implementing key power sector reforms, including the unbundling and corporatisation of Botswana Power Corporation (BPC), to guarantee a secure, reliable, affordable, accessible and clean electricity supply, says Minister of Minerals and Energy, Ms Bogolo Kenewendo.

Minister Kenewendo said this when contributing to the debate on a motion introduced by Mogoditshane West MP, Mr Galenawabo Lekau, which requested government to expedite BPC’s unbundling, allow local, privately owned companies to generate and sell electricity and enable them to directly connect homes and farms to the power grid.

Supporting the motion, Ms Kenewendo explained that under the proposed unbundling, BPC would retain transmission and distribution responsibilities, while independent power producers (IPPs) take over generation.

She pointed out that BPC’s original mandate effectively gave it a monopoly over the country’s electricity supply. She noted that unbundling meant that BPC would no longer hold sole responsibility for power generation.

“Some of you may be aware that over the last couple of years, there has been progress regarding independent power producers. We have announced several IPPs to begin generating electricity on behalf of BPC, allowing the sector to become more liberalised,” she said.

She added that the restructuring process also involved evaluating whether BPC should retain its monopoly over the transmission network, which managed the major infrastructure required for long-haul electricity distribution locally and for export. 

On the distribution side, she noted that BPC would focus on expanding grid connections to farms and homes nationwide.

Ms Kenewendo expressed confidence that the changes would attract significant private sector participation and investment across the entire electricity value chain.

To guide the process, she said government was currently running a project through the Public Enterprises Evaluation and Privatisation Agency (PEEPA), adding that the team tasked with delivering the project was conducting a detailed analysis of the proposed restructuring and assessing options for unbundling power generation assets and functions from BPC’s core operations. She however emphasised that the ministry must avoid rushing the process without clear market analysis to ensure that the reforms yielded sustainable results. “We have already begun due diligence and assessments of BPC, including its business, financial and human resource structures and are receiving guidance on implementation. This work also involves a physical audit and identification of all assets to be unbundled,” she added.

Subsequently, she cautioned that strictly restricting BPC to distribution right away could disrupt ongoing operations, as it directly impacted infrastructure ownership, staffing and ongoing investment strategies. ENDS