ATMM strategy requires enough energy supply- Matola

Lilongwe, May 29, Mana: Minister of Energy Ibrahim Matola has said the government's Agriculture Tourism, Mining and Manufacturing (ATMM) strategy requires enough energy supply for it to bear fruits in the country.

Matola made the remarks on Wednesday during a power purchase signing ceremony between the Electricity Supply Corporation of Malawi (ESCOM) and Mzuzu University at Bingu International Convention Centre (BICC) in Lilongwe.

Mzuni has constructed a 20 megawatts solar power farm plant at Choma worth $20 million but they have already signed another power deal to upgrade to €70 million for 50 megawatts which will all be sold to ESCOM’s national grid.

The Minister commended Mzuni saying for the ATMM strategy to flourish it requires enough electricity to be able to drive manufacturing industries, Agriculture, Tourism, Mining and Manufacturing.

"This signing ceremony is a significant milestone in the energy sector. We have an ATMM strategy in the country and for it to work out, we need stable and reliable power to drive such initiatives.

"As a government, we shall create a conducive environment for more players to invest in the energy sector because this is a catalyst to the economic growth of our country," said Matola.

The Minister said Mzuni has demonstrated that universities can offer solutions to the country's challenges saying, for instance, the demand for electricity in Malawi is quite huge.

“The current generation capacity for the country remains 554.24 Megawatts, which comprise 401.84 Megawatts of hydro, 101 Megawatts of solar and 51.4 MW of diesel power generators. Malawi also imports 8 Megawatts from Zambia and Mozambique as cross-border traders and this adds up to 562.24 Megawatts,” said the Minister.

The Chief Executive Officer for ESCOM, Kamkwamba Kumwenda said the coming Mzuni project will greatly offer an alternative to issues of blackouts and load shedding in the northern region areas.

"This project is so significant because we have been having challenges in power supply to the north. Our line that we use, we call it the Eastern backbone is very old, and its wooden structures. Predominantly transmission is supposed to be on steel structures.

“But now, with the structures and the terrain, every other fortnight, we are having power outages to the north, making the northern region experience a lot of blackout and load shedding. So, with the Mzuni 20 Mega Watts is enough for the northern region,” said Kumwenda.

Kumwenda said as per the Mzuni program, the delivery time for the project is 2027 but ESCOM has requested them to move closer to 2026 saying the solar is not as complicated as hydro.

Vice Chancellor for Mzuzu University, Professor Wales Singini said the institution thought to come up with the idea to help the students have a practical feel of what they are learning in class.

Singini said they started with 5 Mega Watts and scaled up to 20 and they are looking forward to 50 Mega Watts.

Minister of Higher Education, Dr. Jessie Kabwila thanked Mzuni for the initiative saying universities must offer solutions to the country's problems unlike blaming politicians.

In a related development, Nyika Hydropower Group also signed a Power Purchase Agreement for a 51 Mega Watts project with ESCOM where the company would like to sell their power to the national grid.

Chairman for Nyika Hydropower Group, Engineer Graeme Watson said their project will give the people of the north a stable and reliable power considering that most generation comes from the southern region where the equipment is aged and result in frequent power outages due to frequent maintenance.

“Nyika Hydropower will give people jobs, and secondly, after the construction is complete it will stabilize power supply in the area and hence leading to more development of businesses such as manufacturing as well as mining,” said Watson.

Malawi Energy Regulatory Authority (MERA) Chief Executive Officer Henry Kachaje commended Mzuzu University and Nyika Hydropower for the initiatives saying the development will ensure power stability in the country.

He further asked Mzuni to consider exploring Wind power generation to reduce the country’s overdependence on Hydropower.