Botswana is emerging as a leading destination for renewable energy investment, thanks to its exceptional solar potential and supportive policy framework.
With over 3,200 hours of sunshine annually, Botswana is one of the sunniest countries in the world, making it ideally placed to harness solar power, as noted by the International Renewable Energy Agency (IRENA).
National Targets and Policy Direction
The government’s Integrated Resource Plan (IRP) sets an ambitious target of sourcing more than 30 percent of the country’s energy from renewables by 2030. Priority focus areas include solar PV, wind, and biomass. This shift is central to Botswana’s broader energy security and sustainability agenda, according to the Ministry of Minerals and Energy.
Market Entry Pathways
Independent Power Producers (IPPs)
The Botswana Power Corporation (BPC), together with the Ministry of Minerals and Energy, has launched tenders for grid-tied solar PV projects under the Independent Power Producer framework. These projects allow investors to develop, own, and operate renewable plants with long-term power purchase agreements, as highlighted in updates from the African Development Bank.
Net Metering and Distributed Generation
Policy reforms are evolving to enable commercial and industrial users to install rooftop systems and feed excess power into the grid. This distributed generation approach creates opportunities for private sector energy solutions providers, according to the Botswana Energy Regulatory Authority.
Government Incentives
To encourage investment, the government has introduced a range of fiscal incentives:
- Zero-rated VAT on renewable energy equipment
- Customs duty exemptions for imported solar technologies
- Investor facilitation and licensing support from the Botswana Investment and Trade Centre (BITC) and SEZA
These measures are outlined by the Botswana Investment and Trade Centre.
Regional Power Integration
Botswana is an active member of the Southern African Power Pool (SAPP), which allows electricity trading across borders. This integration creates future potential for exporting renewable power to neighbouring markets such as South Africa and Namibia, improving the long-term viability of large-scale renewable projects. Details on this framework are available from the Southern African Power Pool.
Moore Botswana: Your Strategic Partner
At Moore Botswana, we support renewable energy investors at every stage of their journey:
- Advisory: Feasibility studies, financial modelling, and strategic planning, with ESG standards integrated into every step.
- Tax: Structuring investments to maximise renewable energy incentives while managing cross-border exposure.
- Audit: Independent assurance that enhances transparency, regulatory compliance, and investor confidence.
Our team ensures your renewable energy project is commercially viable, tax-efficient, and sustainability-aligned to help you scale clean energy in one of Africa’s most stable economies.