An energy expert says the role of the Independent Power Producers (IPPs) in addressing prevailing electricity challenges should not be restricted to grid power connection, but also focus on supply and distribution.
Malawi has in the recent past been grappling with persistent power outages as the Electricity Supply Corporation of Malawi (Escom)’s generation capacity has dropped by 42 percent due to a drop in water levels in Lake Malawi.
Among long term remedies to power generation woes, government signed a Memorandum of Understanding with several IPPs, to boost power generation.
Commenting on the trends, an energy commentator, Dapper Chapalapata, said competitiveness of the IPPs in improving the sector would depend on their aggressiveness in the scope.
“I would suggest that some of the IPPs venture into off grid systems apart from only having power systems to be connected to the national grid which will be maintained and managed by Escom,” said Chapalapata in an interview.
Chapalapata then reiterated the significant role the private sector players would play in revitalising the country’s energy sector, saying it would improve quality.
He was, however, quick to caution the stakeholders to be radical in price negotiations which has remained a thorny issue in the recent past.
“For us to attract investors and also ensure affordability, the price of electricity should be ideal,” recommended Chapalapata.
Already, Escom says talks with the IPPs have taken significant pace. Escom Regional Manager for the South, David Mbewe, said in an interview that the coming in of the IPPs is estimated to increase power generation to 916 megawatts in the medium term.
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