Maseru, Jun. 17 — Mr Kananelo Boloetse of Section 2 says that despite losing a legal challenge against the Lesotho Electricity and Water Authority (LEWA), the judgement still carries a positive outcome for future tariff review processes.

“On a more positive note, the judgement confirms an important forward-looking position. If the Lesotho Electricity Company (LEC) applies for a tariff increase tomorrow, it will be required to submit audited financial statements for the year ending 31 March 2025. If an application is made after 30 September 2026, it will have to provide financial statements for the year ending 31 March 2026,” Boloetse said.

The High Court of Lesotho on Monday dismissed an application by Advocates for the Supremacy of the Constitution (Section 2), which challenged electricity tariff increase approved for the 2024/2025 and 2025/2026 financial years.

Boloetse acknowledged that the applicants did not succeed in their main request to have the tariff increases set aside, but maintained that the judgement established important principles that could influence future tariff decisions.

He explained that the matter started after LEWA invited members of the public in February 2024 to submit comments on a proposed tariff increase. Section 2 then requested access to LEC’s audited financial statements for the year ending 31 March 2023, arguing that the documents were necessary to make informed submissions.

“That request was not denied, and to this day those financial statements have not been provided to us,” he said.

Boloetse said after the tariffs were eventually approved, they approached the court, arguing that the process was unfair and unlawful. They also asked the court to order LEWA and LEC to disclose the audited financial statements.

“However, the court held that we could have made submissions even without those financial statements. That is the part of the judgement where we did not succeed,” he said.

He maintained that access to such documents remains important for meaningful public participation in decisions affecting consumers.

“If the 2023 audited statements have still not been shared, when will the 2024, 2025 or 2026 statements become available?” he questioned.

Boloetse further argued that the judgement could still benefit consumers, saying the absence of updated audited financial statements would affect future tariff applications.

“Without those statements, there will be no tariff increase, and that is a win for Section 2,” he said.

During the court proceedings, LEWA argued that it follows a consultative and transparent process when reviewing electricity tariffs. Advocate Kabelo Letuka, representing LEWA, said the Authority acted within the law when it approved the tariff increase application.

Letuka further argued that Section 2’s claim that LEWA relied on outdated financial information had no legal or factual basis.

However, Advocate Fusi Sehapi, representing the applicants, maintained that the tariff increase decision was unlawful, irrational and drastic. He argued that LEWA relied on outdated financial statements and that Section 2, as a representative of the public, should have been properly consulted before the decision was made to ensure a fair process.