Source: Business Insider
- Tanzania’s Taifa Gas and Zambia’s Delta Marimba join forces to build a $100 million LPG energy facility in northern Zambia.
- The new power station, set to contribute 100 megawatts to Zambia’s grid, highlights growing economic ties between Tanzania and Zambia.
- Zambia’s eyes increased power generation to meet rising demand from the consumer and mining sectors, positioning itself as an energy hub in the region.
A $100 million energy facility will be built in Zambia by the liquefied petroleum gas (LPG) company Taifa Gas of Tanzania in partnership with the local business Delta Marimba.
24 months after receiving regulatory permits from the Zambian government, including the Environmental Impact Assessment, the factory, which will be located in northern Zambia, will begin producing. Taifa Gas says it will explore more LPG opportunities such as cooking gas.
The LPG power station will contribute 100 megawatts to Zambia’s national grid once it is operating. According to Taifa Gas Executive Director Hamis Ramadhani, who spoke to local media on Monday, the investment was principally motivated by the favorable business climate and policies established by Zambian President Hakainde Hichilema and Tanzanian President Samia Suluhu Hassan.
Taifa Group Chairman Rostam Aziz stated during the ceremony that the two businesses were utilizing the current, improved policies that allowed for the establishment of strong economies.
“This is the right time for our countries to value issues of the economy because it is the economy that will transform the lives of our people,” Taifa Group chairman Rostam Aziz said.
According to Padmore Muleya, a spokesman for Delta Marimba, the collaboration is crucial since it signals further advancements for the two neighboring nations.
“Solutions have come from a partner who understands where we come from,” he added citing the historical ties between Tanzania and Zambia. According to him, Zambia now needs slightly more energy than its 3,100MW output, which is just above 3,000MW.
Mr. Muleya, after President Hakainde Hichilema’s decision to expand copper output from 890,000 tonnes per year to three million, the nation anticipates increased demand from the consumer and mining sectors.
“Dramatic increase in copper and silver production is the core demand for an increase in power generation in the country,” he said. “Zambia is an energy hub, exporting and has the potential to export more energy to the Democratic Republic of Congo (DRC) that faces even more deficit. The country has the potential to export power to Zimbabwe, which faces the deficit too,” he added.
ABOUT THE AUTHOR: CHINEDU Okafor, senior reporter @ Business Insider.
