Botswana Power Report Q2 2014 - a new market research report on companiesandmarkets.com
PR-Inside.com: 2014-04-02 11:44:04
Despite Botswana being one of the wealthiest non-oil producing countries in Africa, its power sector needs much work if it is to be financial viable over the long term. Demand outstrips supply and this is to remain the case over the 10-year forecast period to 2023, although the deficit will have grown smaller. The country´s reliance on coal for over 99% of its power means it has to rely on costly imports from neighbours, with its import needs to decrease to 2016, then increase over the remainder of the forecast period. Its slim project pipeline will do little to push the sector forwards.
BMI forecasts that between 2014 and 2023, Botswana´s overall power generation will increase by an annual average of 20.9%, to reach 5.3 terawatt hours (TWh). However, this will not be spread evenly throughout the forecast period, with year-on-year (y-o-y) growth of 99.5% and 86.3% anticipated in 2014 and 2016 respectively. New capacity includes the long-delayed Morupule B power station and the thermal Mmashoro power station, both of which are scheduled to begin operations during our 10-year forecast period.
However, the country´s frequent power outages threaten to disrupt productivity and investment potential.
Botswana Power Corporation (BPC) has offered reassurances that these rolling blackouts have ended, but only time will tell if stability has been attained.
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