Friday, September 4, 2026
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Lesotho

Govt fails to harness tourism potential

 . . . minister concedes more could have been done

. . . LHWP communities yet to fully benefit from opportunities

. . . as LNDC moots projects to boost tourism

Government has acknowledged that it has failed to fully harness the tourism and economic potential created by the Lesotho Highlands Water Project (LHWP).

Natural Resources Minister Mohlomi Moleko said government had fulfilled some of its obligations under the LHWP Treaty, particularly the construction of dams and tunnels that facilitate the transfer of water to South Africa.

However, he conceded that more should have been done to ensure that Basotho, particularly communities living around project areas, benefit from the tourism and economic opportunities created by the multibillion-maloti project.

Moleko said government had made efforts to ensure that the LHWP contributed to economic growth, but acknowledged that more initiatives were needed to ensure the benefits reached ordinary people.

He cited holiday homes, fisheries, water sports and other tourism-related activities as areas that could unlock greater economic opportunities for communities around the dams.

“We have done all we can to see that the economy booms from the LHWP, but a lot more needs to be done,” Moleko noted.

He pointed out that government should have focused not only on constructing hotels at Mohale and Katse, but also on developing attractions and recreational activities that could draw tourists to the surrounding communities.

Holiday homes, horse riding, boat cruises and other recreational activities could, he said, help stimulate a tourism boom.

“As government, we seriously need to look into this. The situation calls for correction,” he said during a television interview.

Moleko said previous government visits to LHWP sites had largely focused on infrastructure development, with less attention paid to other provisions of the Treaty, including community development.

Government had also fallen short in implementing Article 4.2 of the LHWP Treaty, which focuses on livelihood restoration and national development.

Despite these shortcomings, Moleko indicated that progress was being made in areas including hydroelectric power generation, irrigation, potable water supply and fisheries development.

He cited the fishing project at Katse Dam, which aims to enable people living around the reservoir to apply for licences and participate in the fishing industry.

Moleko said government should also have helped local communities establish chalets and holiday homes to capture more tourism revenue.

The ministry has since engaged the Lesotho Highlands Development Authority (LHDA) to develop a Social Development Master Plan aimed at helping villagers participate in such business initiatives.

Moleko added that royalties from the LHWP are expected to rise from the current M5 billion annually to M8 billion when Phase II is completed in 2029.

Social activist Lenka Thamae welcomed the minister’s acknowledgement that government had not done enough to assist communities affected by the project.

Thamae said the admission would make it easier for stakeholders to hold government accountable.

“We hope government will take our input into consideration as it works to review the Treaty. We’re very keen to give additional information,” he told theReporter in an interview on Wednesday.

For communities living near Katse Dam, however, the benefits remain limited.

Matokelo Molise, from Bokong near Katse, said relocated villagers needed to benefit more from tourism.

“We don’t benefit much from tourism since most visitors only visit Katse Lodge, which is not near us,” she told this publication.

According to the Lesotho National Development Corporation (LNDC), Katse Dam, a scenic engineering marvel situated at about 2,000 metres above sea level in the Maluti Mountains, has strong potential for alpine water sports and cruises.

A proposed Katse Tourist Village public-private partnership (PPP) development would offer accommodation, luxury cruises, adventure activities and cultural experiences.

The project is expected to include a four-star eco-lodge, chalets, glamping facilities, restaurants, a spa and conference facilities, as well as a Skywalk, guided tours, recreational activities, retail outlets and local markets.

The development could create investment and employment opportunities for surrounding communities.

At Mohale, the LNDC has also proposed a PPP tourism project featuring heated pools, water slides, a lazy river, lake cruises and a fly-fishing lodge.

The proposed community hub would provide equipment rentals, training, retail opportunities and employment, with revenue generated through admissions, accommodation, food, guiding and other tourism services.

Moleko visited Ha Lejone and Mokhotlong two weeks ago to inspect and assess progress on LHWP-related work.

He stressed that while construction continues, efforts to improve the livelihoods of communities in surrounding areas must not be neglected.

In response, LHWP officials showed the minister community livelihood improvement initiatives at Ramonakalali, where residents are being trained and supported in poultry and pig production, improved sheep breeds, fruit-tree and vegetable farming, and beekeeping.

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