Online Reporter
Rutendo Nyeve
[email protected]
ZIMBABWE’S ban on the export of raw minerals, particularly lithium, has triggered a surge in private sector power generation projects, with mining companies expected to add nearly 1 000 megawatts to the national grid through self-funded electricity generation initiatives.
Speaking at a recent energy conference in Cape Town, South Africa, Energy and Power Development Permanent Secretary Engineer Gloria Magombo said the Government’s push for mineral beneficiation was driving significant new electricity demand and creating fresh opportunities for independent power producers.
“We have changed policy. We are now looking at beneficiation of minerals. We have come up with a law which is clear that you cannot export any raw materials,” said Eng Magombo.
“No lithium shall be exported without minimum beneficiation. There’s an expected huge demand coming through, and it presents a huge opportunity for the private sector to invest in mining and value addition.”
Zimbabwe banned the export of raw lithium in a bid to promote local processing and maximise earnings from the mineral, which is a critical component in the manufacture of electric vehicle batteries and renewable energy storage systems.
The policy shift has resulted in increased investment in energy infrastructure by mining companies seeking to secure reliable power supplies for beneficiation and processing operations.
Eng Magombo said several mining companies were already expanding their power generation capacity, including one major project where an existing plant is being upgraded from 35 megawatts to 85 megawatts.
She added that plans were also underway for the development of additional 200MW and 100MW solar power plants.
The Permanent Secretary also revealed that Zimbabwe had gone for more than 150 days without load shedding, a development she attributed to ongoing reforms within the energy sector.
Zimbabwe’s electricity access rate currently stands at 62 percent, with Government targeting universal access by 2030 under the recently launched National Energy Compact.
Eng Magombo said the Government was reviewing the country’s 2012 energy policy while also implementing renewable energy and energy efficiency strategies aimed at strengthening power generation and sustainability.
She said authorities were working to transform the national power utility into a credible off-taker capable of attracting financing and supporting long-term energy investments.
“We believe that having a viable utility allows them to be the off-taker of first choice. With the mechanisms we are putting in place, it will allow them to access more financing and be a credible partner,” she said.
derick.khumalo