President Lazarus Chakwera has issued an ultimatum to investors who secured power purchase agreements with Malawi Government but are yet to start implementing their projects, saying they will face consequences if they do not roll out their projects.
The Malawi leader was speaking today when he commissioned US$75 million JCM solar power plant situated in Salima which is expected to add 60 megawatts of power to the national grid.
Chakwera claimed that some independent power producers approach government in bad faith by expressing interest to invest in the power sector when they have no capacity to do so. He added that some investors have secured power purchase agreements with Malawi Government but they have done nothing on the ground for months.
“I am urging them to roll out the projects they secured or face consequences. Malawians have no patience for pretenders. We want serious people like JCM have shown themselves to be,” said Chakwera.
In his speech, the Malawi leader also expressed concern over governance systems in the power sector which he said leads to delays in implementation of power projects.
He noted that JCM power came into Malawi in 2013, work began in 2016 and the project has been completed this year.
“Malawi cannot afford to have governance systems that take eight years for projects like this to move from conception to completion,” said Chakwera.
Chakwera, who is also Minister of Energy, then revealed that his administration will review the Independent Power Producers framework to strengthen the enabling environment for various actors in the energy sector.
He added that the Tonse Alliance administration is also developing the first ever renewable energy act to regulate the sector.
The solar photovoltaic plant commissioned today is currently the largest plant in the country and has over 228,000 solar panels. The power produced at the plant will be sold to ESCOM and is expected to reach 200,000 households.