By Phiwa Sikhondze
The Eswatini Electricity Company (EEC) has reaffirmed its openness to collaborating with Independent Power Producers (IPPs) in a bid to enhance the nation’s energy capacity.
EEC’s Managing Director (MD), Ernest Mkhonta reiterated their call for collaboration during the Standard Bank Eswatini Energy Indaba 2024. Mkhonta emphasized the company’s strategic vision to outstrip the nation’s power demand by 2028, a bold target that reflects Eswatini’s commitment to addressing its energy needs proactively. With an eye on the future, EEC is actively seeking collaborations with IPPs to bolster its energy generation capacity.
“We also need to increase generation capacity and efficiency. We can do that in various forms, among others accepting IPPs into the grid and also contributing to our capacity as well,” Mkhonta said.
Currently, EEC operates several hydropower plants and a solar power plant with a combined capacity that falls short of the national demand, making the import of electricity from neighboring countries like South Africa and Mozambique essential. The company’s forward-looking approach involves significant investments in renewable energy projects.
As evidence of its openness to partnerships, EEC currently has existing Power Purchasing Agreements with two IPPs in-country, one of which is Ubombo Sugar Limited. However, he emphasized that there are strict requirements in place that IPPs should meet to secure such agreements with ECC.
Stressing the need for a variation of renewable energy sources, Sherrill Byrne, Executive Vice President of Energy & Infrastructure at Standard Bank Group, shared the bank’s commitment to supporting national efforts for universal access to reliable, sustainable, and affordable energy. In her address, she highlighted that solar energy alone cannot be enough for energy security in Eswatini, hence the need for variation.
The MD urged financial institutions to support energy generation initiatives, highlighting the critical need for investment in the sector. He pointed out that EEC’s strategic plans include diversifying energy sources and increasing local generation to reduce dependence on imported electricity.