By 2026, Belize finds itself at a critical crossroads for its national energy sector, as rising operating costs continue to push Belize Electricity Limited (BEL) toward financial strain and leave local households facing steadily climbing monthly power bills. While the government notes that Belize still maintains one of the most affordable electricity rates across the Caribbean, the state-owned utility has struggled to keep rates stable as operational expenses grow far faster than revenue. To address this growing crisis, national Energy Minister Michel Chebat has framed expanded local renewable energy generation, particularly utility-scale solar power, as the most viable long-term solution for both stabilizing BEL’s finances and delivering cost relief to consumers.
Chebat emphasized the government’s progress in keeping power costs low in a recent public interview, noting that Belize currently ranks as the second-cheapest Caribbean nation for electricity, a testament to existing policy efforts. Following a recent emergency declaration over the sector’s growing financial instability, the government has prioritized the rapid deployment of new solar generation capacity. Minister Chebat confirmed that 14 megawatts of new solar capacity is scheduled to come online by December 2026, with an additional expansion bringing total new capacity to 30 megawatts by July 2027. He has pledged to hold both BEL and its contracted construction partners accountable to meet these strict deployment deadlines.
When pressed whether the cost savings from this first round of solar projects would be enough to offset the massive accumulated losses BEL has incurred operating as a publicly oriented utility rather than a purely profit-driven capitalist enterprise, Chebat admitted the initial savings will not be sufficient to turn the company’s fortunes around alone. However, he outlined broader plans for much larger-scale renewable energy expansion: after the initial projects are completed, an additional 80 megawatts of solar generation developed in partnership with the International Finance Corporation (IFC) will come online, a development Chebat says will drive a dramatic turnaround in BEL’s financial position.
Beyond domestic policy, BEL CEO Leroy Almendarez recently used a meeting of regional energy ministers to call for deeper cross-border cooperation among Caribbean nations to address the shared energy sector challenges driving up costs across the region.
This report is adapted from a transcript of an evening television newscast originally published online.