By Own Correspondent- An estimated 30 independent power producers (IPPs) with licences to generate up to 5 000MW, stare the prospect of losing the licences for continuously failing to resume operations, at a time the country is contending with acute electricity shortages.
This comes as Energy and Power Development Minister Fortune Chasi last Friday assured productive sectors of the economy adequate electricity and fuel to power their operations.
Minister Chasi said the Renewable Energy Policy, which will allow for competitive procurement selection processes unlike the current scenario where potential investors solicit for bids but cling on to licences without executing the projects, would be launched soon.
“The ministry is set to launch a Renewable Energy Policy once all approvals have been achieved, which will promote the uptake of renewable energy projects and allow for competitive procurement selection processes for the development of future projects,” said Minister Chasi while addressing delegates during the Zimbabwe Annual Mining Conference in Victoria Falls.
“This is opposed to the current situation where potential investors solicit for bids and hold on to licences. At the moment, more than 30 entities have been licensed for power generation with capacity in excess of 5 000MW.
“Those currently not demonstrating capacity to execute their projects will have their licences revoked to avoid rent-seeking tendencies.”
He added that Government has begun carrying out a review of all licences issued to potential investors to establish if the projects will be implemented in the short to medium term.
Government sees IPPs as critical in playing a significant role in addressing the power challenges facing the country.
About 13 IPPs are already generating up to 13,2MW of power, which is being fed into the national grid.
Some of the operational IPPs include Duru, Nyamingura, Pungwe A to C, Hippo Valley Estates, Triangle Estates, Green Fuels, Hauna Power Station, Kupinga Power Station, Claremont Power Station, Riverside Power Station, Nottingham Estate, Econet and Padenga Holdings.-StateMedia