Belize's government has stepped into a dispute that could have pushed electricity bills up across the country — including on popular tourist islands like Ambergris Caye. At stake is a proposal from Belize Electricity Limited (BEL), which asked the Public Utilities Commission in late October to raise the ceiling on its Cost of Power Adjustment mechanism from 5% to 10%, a change that would have let the utility pass higher generation costs on to customers.
BEL blames expensive diesel and a shortfall in imported power from Mexico for its troubles. Prime Minister John Briceño put a number on the problem on November 11th: electricity costs the utility roughly $0.80 per kilowatt-hour to produce while consumers pay only around $0.60, a gap he called unsustainable. Even so, he made clear the government would not let BEL hand that cost to Belizean households, and said officials are looking at ways to contain electricity prices as part of a wider response to the country's cost of living. The PUC has not yet ruled on the request.
One fix already in motion is solar power. Briceño said BEL is working with several companies on solar generation paired with battery storage — batteries that would be charged during the day and feed the grid at night, when power is most expensive.
There's also a diplomatic thread to this story. A delegation led by Minister of National Security, Energy and Ports Michel Chebat travelled to Mexico City in early November and met with officials from the Comisión Federal de Electricidad. Belize currently imports 55 megawatts from CFE, and Chebat confirmed the Mexican utility assured Belize the supply will continue. Discussions have even opened on increasing that amount, with CFE planning new generation plants in southern Mexico by 2028. The two sides agreed to set up three working groups on electricity planning, though the government's November 10th report didn't say who would sit on them.
Why does this matter to travellers? Belize leans heavily on imported Mexican power and costly diesel generation, and visitors to San Pedro, Caye Caulker or Placencia occasionally feel the effects of grid strain through the odd outage. A government committed to keeping bills down — and investing in solar and battery capacity — should mean more stable power and steadier prices for hotels, restaurants and tour operators, which ultimately shapes what a holiday in Belize costs and feels like.
Credit: The San Pedro Sun
