Electricity Generation Company (Malawi) Limited (EGENCO) on Tuesday signed a contract with Japan’s Mitsubishi Corporation for a multimillion project that will see the company expanding the Tedzani hydropower station.
The signing ceremony took place at Bingu International Convention Centre (BICC) in Malawi’s capital, Lilongwe.
Speaking at the ceremony, EGENCO Chief Executive Officer (CEO) William Liabunya hailed the project saying it is aimed at increasing electricity generation in the country.
“This is a very big milestone for us as EGENCO and indeed a big milestone for the country because once the project is completed, it will significantly increase our generation capacity. The project upon completion will add 18 megawatts into the national generation system,” Liabunya said.
He added that the project which is expected to start in October 2017 and will run for three years is of great importance since at the moment Malawi is hungry for power and any megawatt added is vital.
“18 megawatts is no mean achievement to the nation. The project is expected to be finished in 2020. This means the 18 megawatts will be coming into the system soon after Nkula A brings in additional 12 megawatts in 2018 through the rehabilitation, modernization and expansion project currently under operation through financing from the Millennium Challenge Corporation Compact Funding,” Liabunya said.
In his remarks, Acting General Manager of International Economic Corporation of Mitsubishi Corporation Masato Kume said the company is keen to do the project brilliantly since this is its first work in Africa.
“We will construct 18 megawatts of hydro power station at Tedzani by December 2020. Together with Calik Energy (Exclusive subcontractor) we have a vast experience especially in the Middle East. This is our first project in Africa and so we want to make it successfully done,” Kume said.
The project has been made possible with a USD52 million grant from Japanese Government through Japan International Cooperation Agency aimed at improving the country’s electricity generation capacity.