Saturday, April 17, 2010

PRIVATE SECTOR PARTICIPATION KEY TO ZAMBIAN POWER DEFICITS


Following the revision of the legal framework, the private sector is now slowly but steadily contributing to the Zambian energy sector. Lunsemfwa Hydro Company is currently contributing 48megawatts to the 1,400megawatts being generated nationwide.

Zambia is currently faced in a six hundred megawatts power deficit due to heavy industrial activities following economic growth. Energy being the life blood of economic development has remained a cardinal issue in Zambia whose 1,400Megawatts generation capacity is surpassed by its 1,500mega watts consumption at peak hours. ZESCO the main utility company has not upgraded its hydro plants in decades hence making the nation continue experience serious load shedding which is also concentrated on the peri-urban areas while the suburbs are usually spared.
With the relaxing of the legal framework, Lunsemfwa Hydro Power Company a private owned firm has embarked on expanding its 48megwatts output from its two power plants, Lunsemfwa and Mulungushi both located in the Central Province of Zambia. The company which is solely owned by Zambians has seen the expansion project starting with upgrading of machines as of 2009 replacing the 1925 installed ones. Company Electrical Technologist Chileshe Mutengo says the new Chinese machines have eased operations as the system has been digitized hence controls being done in one room and on one computer.

“We are now able to digitally control our operations here following installations of three new machines last year……our system at both plants is able to show what the other one is also doing and how much power is being generated,” Mr. Mutengo said.

The soft spoken technologist says the new machines are also able to generate maximum power regardless of the water levels in Lunsemfwa and Mulungushi rivers. He says the company is also looking at expanding generation capacity with the target of 200Megawatts on a long term basis.
“We are starting expansion works before the end of this month with a generation capacity of 6megawatts to raise our capacity to 54megawatts which will end some time next year,” He adds.
ERB calls for private sector participation

The Energy Regulation Board –ERB- which regulates the country’s energy sector has called for private sector participation as a mitigating measure for current power deficits that Zambia is experiencing.
On Wednesday the board held a one day workshop for the media in the Central Province provincial headquarters, Kabwe which was preceded by a tour of Mulungushi plant.
When officiating at the workshop, ERB Acting Executive Director Mushiba Nyamazana called for more private sector participation in exploiting the vast 6,000megawatts hydro power potential in Zambia.
“Lunsemfwa adds to a number of projects that government is working on in increasing power generation to match economic growth due to a number of activities,” Dr. Nyamazana said.

By Brian Mwale.

ZAMBIA LAUNCHES FOOD PROCESSING PLANT


Zambia has in the past seen many foods including fruits rotting due to lack of processing plants. This situation is now changing as the defunct Zambia Horticultural Company takes a new shape.


As calls for diversification of the Zambian economy continue, more developments are being made in the agriculture sector which will see more than five thousand peasant farmers get business. Freshpikt a fruit and vegetable canning and processing plant has been commissioned at a cost of US 5million dollars with support of the American government and some Zambian investors.

Speaking when he officiated at the opening event, Zambian President Rupiah Banda says the plant has come at a time when the country’s agriculture sector is faced with challenges of agro processing and value addition.

“I am happy to commission this plant which I was first Managing Director and I believe it will contribute to exports of Zambian products,” President Banda says.
And American Embassy Charge de Affaires Micheal Koplovsky says broad based economic growth is key to economic growth as Zambia poverty rates especially in rural areas have remained high despite the recent economic growth.

“The American governments is committed to contributing to economic development of Zambia and help it attain the vision 2030 of becoming a middle income country,” He says.
And Freshpikt chairman and prominent Lusaka businessman Chance Kabaghe expressed happiness with the quality of the processed foods. Mr. Kabaghe who is also Zambia Association of Manufacturers –ZAM- President says the company processes more than twenty locally grown products.
“ Our products are already becoming competitive in the Southern African region because they are meeting internationally accepted standards,” says Mr. Kabaghe.


History of fresh pikt
Freshpikt has succeeded the defunct Zambia Horticultural Products Limited -ZAMHORT- whose first Managing Director was now Zambian President Rupiah Banda.
The plant which was financed by the Italian AID to Zambia at a cost of 28million US Dollars was privatized following economic reforms initiated in the 1990s.
Freshpikt is expected to provide employment to more than five hundred people mainly women.
By Brian Mwale