Nqobile Bhebhe, Senior Business Writer
INDEPENDENT Power Producers (IPPs) in Zimbabwe are steadily increasing electricity generation, now producing an average of 120 megawatts (MW), up from 50 MW at the beginning of the year.
The Zimbabwe Energy Regulatory Authority (ZERA) has licensed over 100 IPPs since 2010, but many projects have struggled to take off due to funding constraints.
To accelerate investment in the sector, the government is prioritising solar projects and offering support to qualifying IPPs.
A daily update from the Zimbabwe Power Company (ZPC) indicates that as of Wednesday, IPPs were contributing 120 MW to the national grid, up from an average of 75 MW.
The highest recorded output from IPPs was 134 MW on 3 February.
Today (Thursday) Hwange power station contributed 747 MW up from 643MW on Wednesday.
On the other hand, Kariba 485 MW since 4 March.
In December 2022, the government identified 27 IPPs with a combined potential output of 1 000 MW for targeted support under the Government Implementation Agreement (GIA).
The initiative is expected to significantly boost power generation as the Second Republic focuses on increasing private-sector investment in solar energy.
Additionally, the government has introduced economic tariff guarantees for eligible solar projects that pass the screening process.
The GIA has three major components namely — Project Development Support Agreement, power purchase agreement (PPA), and the Reserve Bank of Zimbabwe (RBZ) undertaking for foreign currency convertibility and transfer.
Power shortages remain a regional challenge, prompting companies to invest in solar plants to reduce reliance on the national grid.
The shift not only enhances operational efficiency but also lowers the cost of doing business.
