Botswana is accelerating its transition toward renewable energy with a $100 million investment in the 100-megawatt Tati Solar Project, as falling diamond prices are putting increasing strain on the country’s finances. Diamonds account for roughly 70% of the country’s exports and one-third of its GDP. However, falling global prices, weaker demand, and growing competition from lab-grown stones have reduced the revenue generated from the gems. Scheduled to begin commercial operations in 2027, the solar project is designed primarily to export electricity through the Southern African Power Pool, while surplus power will feed Botswana’s national grid. The initiative aligns with Botswana’s broader goal of reaching 8,000 megawatts of generation capacity by 2029. Financial institutions view the project as a strategic opportunity to generate long-term returns while supporting southern Africa’s transition to cleaner energy sources.
Forbes Africa