Categories: Zim Latest

IPPs contribute 4% to national grid

While Zimbabwe has licensed over 100 Independent Power Producers (IPPs), able to produce 8000MW in total, IPPs are currently contributing just 4 percent to the grid.

This is because investors fear currency instability and unprofitable tariffs.

At International Monetary Fund/ World Bank meetings in Washington, Zimbabwe sought new energy investments.

Last year, to get projects going, the government granted tariff guarantees (9 US cents/kWh) to some power investors.

The country is facing serious power challenges due to a number of factors including low water levels at Lake Kariba.

This has been further compounded by antiquated electricity generation equipment which are prone to constant breakdowns.

Zwnews

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