BELMOPAN, Fri. Oct. 17, 2025
Today’s House Meeting was convened primarily for the passage of the Belize Electricity Investments Bill, 2025, allowing for the purchase by the Government of Belize (GoB) of Fortis Inc. electricity sector assets in Belize. These include the three hydroelectric dams operated by Fortis Belize Ltd. on the Macal River and 22,984,662 ordinary shares held by Fortis Cayman Inc. in Belize Electricity Limited (BEL). The latter represent 33.3% of the issued and outstanding ordinary shares in the capital of BEL. As announced by Prime Minister John Briceño today, the total cost for the purchase would be BZ$256 million (US$110 for the dams and US$18 million for the shares.)
The Prime Minister sold the bill as a monumental gain that is ushering in a “dramatic transformation in the electricity sector” in Belize. A division of votes was called, and 17 of the Government-side area representatives voted in favour; while 10 were absent and the three Opposition area representatives present abstained, despite Hon. Lee Mark Chang, during the debate, expressing great interest in purchasing shares in the new Hydro Belize Ltd. that will operate the dams.
The Government intends to pay the funds, representing about 3.7% of GDP, from the Consolidated Revenue Fund, and will issue treasury bills and notes to finance the acquisition. If needed, the Government can borrow more by topping up what’s owed in treasury bills and notes. Thereafter, the Government will divest/sell its shares, starting first with the hydroelectric company so as to recover the acquisition cost. In the case of BEL, PM Briceño stated it would be some time before they could resell shares, “perhaps to a strategic investor.” That’s because, the PM says, BEL is currently embarked on a recovery curve, “principally due to the elevated cost of power from CFE.” He had explained earlier in his presentation that during peak demand, BEL has bought power from Mexico’s Comisión Federal de Electricidad (CFE) at five times ($2.00) the regulated price cap of 41 cents per kilowatt hour. He explained that BEL was forced to increase its own power generation capabilities using loan funds, primarily from the Government.
According to the PM, the purchase in US dollars will increase Belize’s debt marginally from 60% to 64% of GDP, but he emphasized that this will only be temporary and the borrowing is domestic only. He insisted, however, that while the government is borrowing once more, loans are being paid down to the tune of about $100 million annually.
Briceño informed that NERA Consulting UK was hired to conduct valuations and assessed Fortis Belize at US$122 million. In the case of the Fortis shares in BEL, he noted that the book value as at the end of 2024 was US$62.6 million. As such, he said the electricity sector assets are being acquired at a significant discount. According to the PM, the share purchase agreement between Fortis and the previous government in 2015 included a put option for the $62.6 million figure as a predetermined price to be paid for the Government’s buyback of the shares. Notably, the Prime Minister did not reveal during the introduction of the bill the cost for legal and consultation fees, and said nothing in this regard when he wrapped up the debate, despite Leader of the Opposition, Hon. Tracy Panton raising the question. Other firms hired for the acquisition include Hallmark Advisory, Marsh LLP, and Sukhnandan Consulting LLC. The PM revealed that Joseph Sukhnandan was instrumental in setting up the dams.
PM Briceño reported that ideally, they would want the Social Security Investment Fund to be an “anchor stakeholder” in Hydro Belize Limited, the new company to be formed in place of Fortis Belize. However, he said, the private sector will be welcome to purchase shares, and already, the Holy Redeemer Credit Union and other credit unions, and some of the insurance companies have expressed interest. He also expects interest from the commercial banks. Additionally, with the dams returning to Belizean ownership, the PM affirmed that individual Belizean shareholders will also benefit “from the electrical power and the profits it generates.” He described it as a safe investment with an annual rate of return of 12% to 14%, compared to the 1% and 2% from the commercial banks. Panton shared their (the Opposition’s) preference that the assets, once acquired, not be divested. But since that is the intention of the government, she asked that a percentage be earmarked specifically for non-corporate citizens. Of note is that any sale of the shares in either company will be exempt from taxation. In wrapping up the debate, the PM declared, “We are going to allow every small shareholder or investor in this country to invest their money.”
The Government, in its release on the acquisition last Thursday, stated that it would decrease the cost of power sold from the hydro plants to BEL. Today, the PM explained that when the power purchase agreement was signed between Fortis and BEL, Fortis included that the price would increase annually by 1.5%. The Government intends to remove those contractual increases, saving BEL and customers an estimated $46 million for the duration of the contracts up to 2060.
Additionally, Briceño noted that with the profits and dividends now remaining in Belize, the country will expand its foreign exchange reserves. He reported that in the last seven years, Fortis repatriated over $300 million in proceeds and dividends.
Panton criticized the decision to fast-track the bill through all its stages without giving them ample time to scrutinize the deal. She highlighted Section 7 of the bill, which raises the limit for the issuance of treasury bills from $400 million to $600 million, and for treasury notes from $1.2 billion to $1.6 billion to allow for the purchase. She then noted that no independent risk assessment report has been presented for the dams, which she considers aging infrastructure. Panton also raised concerns about arbitration, if necessary, occurring in Miami. She called forgoing Belize courts an extraordinary, unnecessary concession.
Notably, Panton and the two other opposition members who were present, attended today’s sitting wearing red T-shirts under black blazers. The shirts were emblazoned with the words, “Who thief Budna?” They were joined by two visiting senators in the gallery who were similarly dressed. Every so often in Panton’s contribution to the debate, she would loudly question, “Who thief Budna?” On one occasion she compared unanswered questions regarding Budna’s kidnapping to the lack of details on the electricity sector bill. She commented, “When we ask our member of the government who is responsible for the policy agenda for this country questions, the Prime Minister lee thin skinned, you know. Immediately, he sees it as a political attack. And there are some of these initiatives that we want to support. We want to be able to say we have seen the reports. We understand the assessments that were done … and that it makes sense, but we don’t know!”
Tobacco Control and DNA bills introduced
Two other significant pieces of legislation were introduced at today’s sitting. Among them was the Tobacco Control Bill, 2025, which would establish the framework for the control of tobacco in Belize. In particular, the bill addresses second-hand smoke and introduces restrictions on the sale of tobacco to minors. It also provides guidelines regarding packaging, labeling, advertising and sponsorship. Minister of Health and Wellness, Hon. Kevin Bernard stated, “Tobacco is no conventional product. In fact, tobacco is the only legal consumer product that, when used as directed by the manufacturers, kills two thirds of consumers.” More specific to Belize, Bernard reported that 8.7% of our adult population consumes tobacco, and the prevalence of tobacco use among minors ages 13 to 15 is at 15%.
In the case of the DNA bill, formally known as the Deoxyribonucleic Acid Bill, 2025, it formalizes the use of DNA evidence in police investigations and identification of cadavers, as well as the establishment of a DNA database. Hon. Kareem Musa, Minister of Home Affairs, explained that Belize currently lacks a framework that governs the use and collection of forensic data. The bill will allow for an investigating officer to apply to the Court for an ex parte order for the collection of a DNA sample from a suspect. The suspect can be represented by an attorney, or, in the case of a vulnerable person, by an adult of their choice.
Business Tax amnesty application period being extended
Via the Fiscal Incentives (Amendment) (No.2) Act, 2025, which was taken through all its stages today, the government is extending until December 31, 2025, the application period for the one-year business tax exemption. The bill also provides for MSME’s being exempt from paying any accrued business tax, penalty, or interest in relation to the business tax which may have become due and payable prior to registration with the Belize Tax Service.
Another bill taken through all its stages was the Integrated Coastal and Ocean Management Bill, 2025, to repeal and replace the Coastal Zone Management Act. The Prime Minister explained that the bill is a milestone obligation of Belize under the Blue Bond Agreement, and must be completed by November 5, 2025.
Also passed today were the Gaming and Lotteries Control Bill, 2025, to replace and consolidate gambling-and-lotteries-related legislation; and the Civil Registry and Vital Statistics Bill, 2025, to repeal and replace the Registration of Births and Deaths Act, and allow for the digitalization of the Registry and provide for harsher penalties for offences.
