IPPs get guarantees for solar funding
Zvamaida Murwira in CHIPINGE
The Government will support independent power producers in getting funding, both locally and internationally, through guarantees as part of measures to mitigate potential risks on their investments, President Mnangagwa has said.
The support will start with solar projects before extending to other renewable energy sectors.
President Mnangagwa said this yesterday in a speech read on his behalf by Energy and Power Development Minister Edgar Moyo during the commissioning of a 200 kilowatt mini solar grid at Hwakwata Village in Chipinge district, Manicaland province.
The project has transformed the community which is now accessing potable water and electricity through solar and biogas, as the Second Republic scales up rural development in line with the thrust of leaving no one and no place behind.
“My Government has a task to facilitate the development of energy and electricity infrastructure, and the provision of efficient, adequate, safe and reliable energy services in order to facilitate sustainable economic and social development.
“In this regard, Government has taken the decision to support all eligible independent power producers to source funding from local and international financiers by guaranteeing the projects during their lifespan,” President Mnangagwa said.
“This has been done to de-risk investments. This guarantee is being piloted with solar photovoltaic (PV) projects, but will be extended to other renewable energy technologies in the future.”
In addition to the Rural Electrification Agency (REA) Fund, President Mnangagwa invited more partners to facilitate funding of renewable energy programmes in rural areas.
“We would want to see more partnerships similar to the Climate Adaptation Water and Energy Infrastructure Programme (CAWEP,) and even the strengthening of existing ones.
“Government alone cannot achieve our desired goals. However, as policymakers we ensure that the environment is conducive,” he said.
President Mnangagwa said Zimbabwe fully embraces the just renewable-based energy transition initiatives.
“In this case, critical issues concerning women, children, youths and gender are embedded in the development programmes,” he said.
“The project we have here: the Hwakwata CAWEP Project is a clear testimony of this assertion where the community has access to solar energy and biogas for a variety of uses such as cooking, lighting, welding and solar water pumping.
“Women and children now spend less time fetching firewood and water. Schoolchildren can now use light from the solar mini-grid power plant and the solar home systems to study in the comfort of their homes during the night.
“Women and girls can now cook more efficiently using biogas. Teachers and nurses can now use electricity in their houses and prepare their work more efficiently and effectively”.
As part of REA mandate to deploy solar systems, said President Mnangagwa, Government was targeting eight solar mini-grid projects of this nature in all the eight rural provinces of the country to empower women, youths and vulnerable groups.
“Two of these solar mini-grid systems are already operational and others are under construction. In so doing, Zimbabwe is also supporting the Empowering Lives and Livelihood initiative launched at COP 28. This initiative focuses on the powering of health and agriculture value chains with distributed renewable energy (DRE) systems,” he said.
President Mnangagwa said Government has made huge strides in bridging the rural-urban divide in terms of electricity provision.
“The objective of this initiative is to reduce the energy access gap between the urban and rural population leaving no one behind in our quest to achieve universal access to sustainable and modern energy in Zimbabwe by 2030,” he said.
The project was implemented by the Government and the United Nations Development Programme with financial support from the United Kingdom’s Foreign Commonwealth and Development Office and the Rural Electrification Fund.
UNDP Country Representative Dr Ayodele Odusola commended the Government for promoting clean energy.
“I commend the people of Hwakwata through their chief and headman, the people contributed land and cooperated towards the project, they are not passive beneficiaries,” he said.
British Ambassador to Zimbabwe, Mr Pete Vowles, described the project as symbolising hope and huge opportunities for the community.
Several villagers expressed excitement at the project saying their lives will never be the same.
In an interview, Headman Zamchiya hailed the Second Republic for acknowledging the importance of rural communities.
Hwakwata Green Village Project comprises a solar mini-grid with a 200 kW solar PV array, batteries, inverter and metering system to supply 80 homesteads, 14 shops at the business centre, clinic, and Primary school, benefiting around 12 500 people.
This is coupled with the provision of 100 solar home lighting systems for extremely vulnerable households, 90 biogas digesters for clean cooking, 30 solar community flood lights, 3 solar boreholes and nutrition gardens.
Comments