Escom signs 2 deals for 125MW power injection

Electricity Supply Corporation of Malawi (Escom) Limited has signed transmission connection agreements with AZA Power Solutions Limited and Quantel Renewable Energy Limited, paving the way for the addition of 125 megawatts (MW) to the national grid.

The agreements, signed in Blantyre on Friday, form part of efforts to strengthen electricity supply, improve grid stability and reduce the country’s dependence on hydropower.

Under the first agreement, AZA Power Solutions, a project being developed by UR Energy and Wärtsilä, will connect a 75MW multi-fuel thermal power plant to the grid through Escom’s Nanjoka Substation in Salima.

Escom chief executive officer William Kaipa is quoted in a statement as having said that the project is expected to increase Malawi’s baseload generation capacity by 17 percent and cut unserved energy by about 60 percent.

“The additional 75MW will help address the generation deficit that contributes to load shedding and frequent power outages affecting households and businesses,” he said.

AZA Power Solutions managing director Abel Manumbu said the project will strengthen Malawi’s baseload supply and improve electricity reliability for consumers and businesses.

Later on Friday, Escom also signed a second power purchase agreement with Quantel Renewable Energy Limited, a consortium that includes Sri Lanka’s Vidullankah plc and Frontier Energy of Denmark.

The agreement will enable the integration of a 50MW solar photovoltaic power plant at the New Bwengu Sub-Station in Mzimba District.

Quantel chief executive officer Patridge Shycal said the agreement marked the transition from project development to power delivery.

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