$25M SOLAR POWER PROJECT COMING
Asolar power project with an initial investment of $25 million is expected to be set up at the Lusaka-South Multi Facility Economic Zone (LS-MFEZ) in the next 12 months.
The two years Lusanje Power Limited is a joint venture between LS-MFEZ and Serenje Limited, a South African company with vast expertise in solar power energy.
The project is expected to commence in the next 12 months, subject to the necessary regulatory and statutory approvals, which are a prerequisite to concluding the required financing for the project.
Once completed, the Lusanje Power Limited will be generating 25 megawatts of solar power.
The project will contribute to the LS-MFEZ investments portfolio for a minimum period of 25 years, says Zones Managing Director, Kennedy Mwila.
Mr Mwila explained that the project focused on delivering efficient renewable energy production and storage solutions by utilising various technologies and strategies.
He said this yesterday in Lusaka during the signing ceremony of the joint development agreement between Serenje pvt Limited and LS- MFEZ.
“This special purpose vehicle will design, construct implement and manage the resulting energy providing facility deemed Lusanje Power Limited to be located at the LS-MFEZ,” Mr Mwila said.
He indicated that LS-MFEZ embarked on identifying strategic ways to improve revenue flows, expanding the revenue base and diversifying from the traditional ways of raising money through lease fees.
LS-MFEZ, Mr Mwila explained, recognised the need to device new way of resourcing which included equity participation by investing in business.
Serenje (Pty) Limited Executive Director, Prince Nyati, said MFEZ was a prime example of what was possible in terms of industrial and manufacturing and economic velopment in Zambia.
Mr Nyati said the project would combine solar generation with long term battery storage and that it would also have a connection intro the grid.
He explained that the concept of a hybrid Minigrid optimised peak and off-peak usage to provide customers with clean, reliable and affordable electricity in a continuous basis. “It is our objective as Lusanje that we serve the electricity needs of both commercial & industrial customers in the facility as well other customers in the wider community - directly and in also partnership with ZESCO.
“All in all, we are excited by this “first of its kind project” deand the economic potential it will help unlock - not just for the MFEZ but also for Zambia,” he said.
Mr Nyati also said the MFEZ demonstrated a dynamic shift from the traditional primary, extractive resource sector often associated with African countries.
“It goes one step further and focuses on value-adding, processing as well as manufacture of finished goods for the domestic and export markets.
“As Serenje, we are happy to be associated with the Lusaka South MFEZ - not just as a company that is leasing land (significant as that is). But rather as a JV partner to the MFEZ itself on an exciting new project in the energy sector,” he said.