By September 2026, the small Central American nation of Belize is confronting a growing energy crisis: a projected electricity shortage is set to hit within 12 months, yet the country’s primary power utility, Belize Electricity Limited (BEL), is legally barred from independently purchasing additional generation capacity to close the gap.
The looming deficit comes as rising domestic and commercial energy demand has steadily eaten into Belize’s existing power generation reserves, bringing consumption dangerously close to current maximum output. This narrowing gap has triggered widespread concerns over the long-term stability of Belize’s national power grid, with industry observers warning that unaddressed shortfalls could lead to rolling blackouts or widespread service disruptions.
To unlock the ability to source emergency power, BEL has formally requested the government issue an official emergency declaration. However, the request cannot move forward directly: it must first pass review by the national Cabinet, before being sent to the Public Utilities Commission (PUC), Belize’s independent energy regulator, for final approval and authorization.
Dr. Leroy Almendarez, Chief Executive Officer of Belize’s Ministry of Public Utilities, explained that this multi-step bureaucratic structure was intentionally designed to prevent BEL from unilaterally selecting power suppliers. In comments on the policy framework, Almendarez emphasized that regulatory oversight is a non-negotiable part of the process. “We don’t want it to be said that BEL can just go out and determine that I want to get from X or Y. That is not what is happening,” Almendarez said. “BEL does not just go out and say, well I can see the emergency coming up and so I just go and do so. Don’t forget and this must always be at the back of our minds, that there is a regulator called the PUC.”
Under the approved process, even if Cabinet greenlights the emergency declaration, BEL still faces additional requirements before it can secure new power. As the country’s sole authorized power purchaser, BEL must first provide documented proof that a genuine energy emergency exists, then identify a qualified supplier capable of meeting the full projected shortfall. Only after both steps are completed can negotiations for additional power generation begin.
As of early September 2026, BEL’s request remains under review at the PUC. Almendarez noted that if the projected shortage ends up lasting longer than current projections indicate, additional rounds of stakeholder consultations and regulatory reviews will likely be required to secure long-term additional capacity.