Higher Power Costs Leave BEL Seeking Raise in COPA Limit

Belize Electricity Limited says higher energy prices in Mexico, weaker-than-expected hydroelectric generation and continued reliance on temporary power generation are driving its request to double the monthly limit on its Cost of Power Adjustment (COPA).

In a press release, BEL said electricity purchasing costs have remained higher than anticipated in recent months, leaving the utility unable to recover all additional costs under the existing five per cent COPA limit.

The company is asking the Public Utilities Commission (PUC) to raise that limit to 10% of the approved Reference Cost of Power. BEL said the change would allow it to manage the additional costs over time while retaining a monthly cap intended to protect customers from sudden, significant changes in their bills.

Government to Pump $73M Into BEL as Utility Seeks Higher COPA Charge

BEL stated that the proposal does not mean electricity bills will automatically increase by 10%. It said, “The proposal does not mean that customers’ electricity bills will increase by 10%. The request is to increase the maximum COPA adjustment from approximately 1.51 cents to 3.01 cents per kilowatt-hour (kWh). Any adjustment would remain subject to PUC approval.” 

The COPA mechanism was introduced in August 2026 to allow monthly adjustments reflecting changes in the actual cost of power. The charge can increase or decrease, depending on those costs. 

BEL blames higher energy prices in Mexico, weaker hydroelectric generation and the cost of temporary generation. It said, “Electricity purchasing costs have remained higher than anticipated.”

Meanwhile, the government is preparing to buy about $73 million in BEL preference shares to shore up the company’s finances.

The PUC has opened the request to public comment.