Morupule B Power Plant Failure Leads to P18 Billion in Power Import Costs. The Morupule B Power Station, which was commissioned in 2012 with a significant loan, continues to underperform, causing Botswana to incur substantial costs in power imports. Despite its initial goal to contribute 600MW to the national grid, the plant has not met its expected capacity, which has led to a reliance on imported electricity.
Funded by a loan facility of approximately BWP 10.5 billion from the Industrial and Commercial Bank of China (ICBC), the project was expected to support Botswana’s energy needs. However, the plant has faced ongoing operational difficulties, including poor construction quality and equipment defects. These issues have prevented the power station from running efficiently, resulting in frequent power generation failures.
As of March 2025, the Botswana Power Corporation (BPC) still owes BWP 3 billion on the original loan, which is due to be fully repaid by 2030. Over the years, the plant has faced additional financial challenges, with operational and maintenance costs reaching BWP 5.4 billion. Moreover, the country has had to import electricity to meet demand, which has led to indirect costs of BWP 18.9 billion, with the majority of these costs — BWP 18.1 billion — attributed to power imports over the past 13 years.
The plant’s continued operational struggles have placed Botswana in a difficult position, balancing ongoing loan repayments with the need for reliable, affordable energy.
