- The $78.3 million project will be financed by the consortium and operated for 25 years before transfer to the Botswana government.
- This initiative supports Botswana’s 50% renewable energy goal by 2036 and avoids additional debt to China.
Sinotswana Green Energy, a Chinese consortium, will build a 100-megawatt (MW) solar power plant in Jwaneng, a diamond mining town 170 kilometres west of Gaborone, Botswana. The project will be completed in the second quarter of 2026.
The consortium, including two Chinese companies under China Communications Construction Company Ltd., will finance the $78.3 million engineering, procurement, and construction (EPC) contract. It will also operate and maintain the plant for 25 years before transferring it to the Botswana government.
This deal will prevent Southern Africa from accruing additional debt to China. Botswana has not borrowed from China since 2010. In 2020, Botswana avoided repaying a $2 million interest-free loan given to support economic development and ease the debt burden during the COVID-19 pandemic.
The Jwaneng solar plant supports Botswana’s goal of increasing renewable energy to 50% of its energy mix by 2036. The Botswana Power Corporation issued the project tender in May last year, and the agreement was signed in August 2024. President Mokgweetsi Masisi attended the signing and called it a significant milestone in the country’s energy transition.
Masisi highlighted that the project aligns with Botswana’s goal of providing reliable and affordable energy. He also noted its role in combating climate change, decarbonising the mining industry, and enabling energy exports.
Botswana’s high levels of sunshine make solar power a suitable choice for the region. Botswana’s solar energy output currently stands at just 94 gigawatts (GW), less than one per cent of the country’s coal-based production. The government also uses oil for energy and imports power from neighbouring countries to meet demand.
This development will likely see energy issues dominate the Forum on China-Africa Cooperation summit in Beijing on September 4. Many African countries face power shortages worsened by climate change, which makes the shift to renewable energy crucial. However, funding remains limited.
Foreign investment, such as the Chinese consortium’s involvement in Botswana, is essential to bridging the energy access gap for the estimated 600 million people lacking reliable power across Africa.