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Saturday, 9 June 2012
Electricity supply company in Malawi seeks diesel generators
Malawi has an ambitious strategy to increase the supply of electricity from the current 282MW to 3 407MW by 2020. Consequently, the government has proposed power projects worth $2-billion for which it is seeking investors.
Investment opportunity:Through the Electricity Supply Corporation of Malawi (ESCOM), the government is looking for companies to supply and install three diesel generators. The generators, which will have a maximum capacity of 46 MW, would act as peaking and standby plants embedded within the distribution network. The generators would be used at two peak periods in Mzuzu, Lilongwe and Blantyre.
The project is expected to cost US$40-million.
Sector: Malawi has a power supply deficit (282.5MW against a demand of 344MW), which undermines the country’s ability to attract investment. 95% of the power is generated at plants on the Shire River, and the remaining 5% is derived from a mini plant on Wovwe River. The planned development of phase II of Kapichira hydropower will help boost power supply in the medium-term. The government is currently seeking investors to build power plants on the Shire, Songwe, Bua, Dwambazi, South Rukuru and Ruo rivers. Uranium and coal reserves are other natural resources that Malawi is considering for power generation.
For further information on investment opportunities in Malawi's energy sector, contact the Malawi Investment promotion Agency (MIPA).
Noel G. Lihiku
Planning and Research Manager, MIPA
nlihiku@mipamw.org
+265 888 369 402/+265 999 288 073
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