Entity
Botswana Power Utility – Fiber & Wheeling Revenue Strategy (2026)
Botswana's state power utility plans to nearly triple revenue by 2031 by charging independent power producers grid wheeling fees and commercializing 850km of unused fiber-optic infrastructure.
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Botswana's loss-making state power utility plans to nearly triple its revenue by 2031 through two new business lines: charging independent power producers a 'wheeling' fee to transmit electricity across its grid to clients, and commercializing 850 kilometers (528 miles) of unused fiber-optic cable it owns (Bloomberg, September 15).
## Strategy Overview
The utility, which has historically operated at a loss, is diversifying its revenue base beyond traditional electricity generation and distribution. The wheeling model would allow independent power producers to pay for access to the national grid to deliver electricity directly to end clients, a structure increasingly common as African utilities seek to unbundle generation from transmission (Bloomberg, September 15).
Separately, the utility holds thousands of kilometers of fiber infrastructure that has gone largely unused, which it now intends to lease or sell as bandwidth capacity to telecom operators and other commercial users (Bloomberg, September 15).
## Strategic Significance
This reflects a broader trend of African state utilities seeking non-tariff revenue streams to address chronic underinvestment and fiscal strain, while also potentially opening the door to greater private-sector participation in Botswana's power sector. The wheeling framework could serve as a template for other Southern African utilities facing similar financial pressures.