The Public Utilities Commission (PUC) of Belize has sanctioned a progressive electricity tariff increase set to commence in January 2026, marking a significant development in the nation’s energy sector. While Belize Electricity Limited (BEL) has consented to implement the approved rate adjustment, the company maintains that the increment falls substantially short of addressing its pressing financial obligations.
The regulatory body authorized a rate elevation of $0.0337 per kilowatt-hour, to be phased over a 30-month period. This decision represents a considerable reduction from BEL’s initial proposal of $0.0549 per kilowatt-hour across 24 months. The discrepancy creates an $18.8 million fiscal gap that the power provider claims was essential for maintaining system reliability during periods of severe supply constraints.
In comprehensive documentation submitted to regulators, BEL detailed substantial financial pressures including $52.5 million in outstanding payments to independent power producers, $92 million in domestic debt, and $82 million in debt service requirements due by 2027. The company further revealed expenditures exceeding $80 million on emergency gas turbine installations to prevent widespread blackouts.
Among these critical infrastructure projects, the San Pedro Gas Turbine initiative accounted for $56.1 million in costs and encountered significant implementation delays. BEL emphasized the necessity of these investments, stating that without them, Belize would have faced scheduled power interruptions of up to two hours daily.
Concurrently, the electricity provider acknowledged operational shortcomings, particularly regarding delayed renewable energy implementations. BEL estimated that postponements in planned solar projects resulted in approximately $53.6 million in forgone consumer savings by 2025. The company indicated that timely completion of these initiatives would have simultaneously boosted profitability and reduced debt levels.