In an effort to stabilize the financial health of the water sector while easing household expenses, Botswana has revised its water tariff structure, cutting rates for households by 30% while increasing charges for government institutions by 40%.

President Duma Boko, announcing the changes last week, emphasized that the move seeks to balance affordability for citizens with the sustainability of the Water Utilities Corporation (WUC), which has been struggling with mounting debts. 

The state-owned water supplier has faced financial strain due to unpaid bills, including arrears from businesses and government entities, hampering its ability to maintain and upgrade infrastructure.

“We are looking at making it easier for households to survive," Boko stated during a press briefing, “At the same time, government agencies must play their part in ensuring sustainability by paying more for their usage."

While the tariff reduction is expected to provide relief to households battling rising living costs, the increase in government water bills may put additional pressure on public sector budgets, potentially leading to reallocations or cutbacks in other areas.

Experts remain divided on whether the revised tariffs will be enough to close WUC’s revenue gap. Some argue that increasing government rates could help recoup lost income, while others warn that if unpaid bills continue to rise, the financial challenges of the water sector may persist.

As Botswana navigates economic pressures, the tariff adjustment reflects a broader strategy to ensure both affordability for citizens and long-term sustainability for essential utilities.