BEL Cites Rising Costs in Bid for Higher Electricity Rates

Belize Electricity Limited (BEL) has applied to the Public Utilities Commission (PUC) for a 5.55-cent increase in the Mean Electricity Rate (MER), equivalent to a 13.9 percent rise, to take effect on January 1, 2026. The request comes at a time when Belizeans are already grappling with a rising cost of living, higher food and fuel prices, and ongoing concerns about the stability of the national power supply.
According to BEL, the adjustment is needed to recover BZ$87.5 million in energy supply costs accumulated between July 2023 and October 2025 that were not collected through existing rates. The company also anticipates additional costs of BZ$20.9 million between November 2025 and June 2026. These expenses, BEL says, stem from increased reliance on costlier generation sources, rising prices for imported electricity from Mexico, and the deployment of temporary generation needed to maintain grid stability during peak periods. BEL explained that demand traditionally increases during the warmer, drier months, requiring the use of gas turbines and other high-cost energy sources, and that imported power from Mexico’s CFE is expected to be particularly expensive between April and July.
BEL’s proposal spreads the impact over two years to avoid a sharp rate spike, while maintaining the company’s ability to meet operational needs and invest in essential grid upgrades. The company stressed that even with the increase, it would remain the lowest-cost electricity supplier in Belize and among the most affordable in the region. Still, the request comes as households face escalating expenses in nearly every major category, including rent, food, LPG, and transportation. For many families, electricity is a high monthly cost, and the possibility of higher bills has sparked concern, especially in communities such as San Pedro, where power interruptions and voltage fluctuations have underscored the system’s growing strain.
The PUC has acknowledged receipt of BEL’s application and confirmed that it is now under review. In its statement, the Commission said, “The Public Utilities Commission hereby informs the public that it has received a submission from Belize Electricity Limited (BEL) seeking an adjustment of the Mean Electricity Rate (MER) by $0.0555 per kWh, equivalent to a 13.9% increase. The requested amendment to the tariffs would be for the period January 1, 2026, to June 30, 2026, and according to BEL, will address increased cost incurred in supplying energy to Belize.” The PUC will issue its decision on or before December 15, 2025, in accordance with the Electricity (Tariffs, Fees and Charges) Byelaws.
The request places renewed attention on the tension between maintaining affordable electricity rates and ensuring a reliable supply as national demand continues to grow. With cost pressures mounting and the grid facing ongoing challenges, the outcome of the PUC’s review will have significant implications for households and businesses entering the new year.