dc.description.abstract | Zimbabwe has suffered electrical power shortages resulting in electrical energy imports rising to between 30% and 50% of total energy needs. Electricity generation capacity has stagnated at around 2000 Megawatts (MW) since 1985, when two thermal units totalling 440 MW were completed at Hwange. The current plan is to increase
capacity by installing 600 MW at Hwange at a cost of US $ 900 million. Raising this level of capital is difficult and over the last 15 years there has been a failure to increase capacity. The article argues that promoting power investment in the sugar industry offers a bridging and realisable alternative for electricity generation in Zimbabwe. Investment in a 35 MW bagasse (moisturised fibre left when sugar has been extracted from sugarcane) system would require a capital of about US$ 55 million, which is easier to source. It is further argued that creating the right environment will make
bagasse power projects economically and financially feasible. There is a need to; set cost-effective purchase prices, ensure independence of tariff setting, encourage process improvements, encourage power investments through incentives, ensure top level government commitment, promote human resources development in the sugar power
sector and to promote research and development in bagasse power generation. | en |