Renewable Energy & Opportunities it creates in Zimbabwe
What is renewable energy?
Renewable energy is energy produced from sources that do not deplete or can be replenished within a human’s life time. The most common examples include wind, solar, geothermal, biomass, and hydropower. This is in contrast to non-renewable sources such as fossil fuels. Most renewable energy is derived directly or indirectly from the sun.
What role can agile play in renewable energy?
The energy industry is going through a phase of rapid change. The existing path generation-transmission-distribution process is being disrupted by the latest trends in the industry like renewable energy, energy storage, and digitalization. Agile is important in the renewable energy sector as it is a set of values and principles that guide a company’s ability to respond to change.
Background of the energy situation in Zimbabwe
During the last few years the country has been facing acute energy challenges with the situation being worsened by a number of factors including economic downturn, drought and corruption. Zimbabwe currently has a national electrification rate of 42%, while electricity has reached 83% of the urban households, rural electrification is still around 13%. In addition the country has an installed capacity of about 2300MW mainly from thermal and hydro power however, actual power generation capacity in 2019 averaged below 1000MW against a peak demand of about 1700MW. To offset this shortfall, ZESA has been importing from the region in particular South Africa & Mozambique. However, of late both countries are facing their own energy challenges. `
Renewable energy in Zimbabwe
The country recently developed a National renewable energy policy framework that seeks to promote renewable energy use in the country. It is an initiative aimed at securing the long term energy needs of the country in a sustainable way. Zimbabwe has vast renewable energy resources like solar, hydro, biomass and to a limited extent, wind and geothermal, that to date have largely remained unexploited.
Due to this our renewable energy sector is still very much undeveloped despite the country having a high solar radiation averaging 20MJ per square meter. There is high demand for solar energy systems, especially in remote rural areas where there is no power grid, however the cost is prohibitive. Local production of systems is being encouraged by the government to reduce the cost of solar equipment. To date the Government has provided incentives to the energy sector and a number of companies have been awarded Independent Power Producer licenses but very few projects have been implemented. The major challenge being faced is funding and Government regulated tariffs.
Financing of renewable energy projects in Zimbabwe
Most project promoters are facing challenges with project financing mainly because of lack of a business case to bring the project to bankability. The Government through the National Renewable Energy Policy seeks to promote investment in the renewable energy sector by providing incentives. Some of the incentives include providing national project status to all the renewable energy projects, according prescribed asset status so as to unlock insurance and pension funding, etc. However, more work needs to be done to attract international financiers to invest in the projects
|Event Date||10-15-2020 6:00 pm|
|Event End Date||10-15-2020 7:00 pm|
Tapiwanashe Vushe PMP, has experience in resource mobilization, debt management and project management. His specialization includes business development, business communication, commercial contract negotiation, risk identification & management. He has worked 12 years in both the public and private sector. In 2013, he was part of the project team that worked on 2 livelihood projects in the water and health sector. Both projects were granted national project status by the Government of Zimbabwe. He is currently part of a project team working on project on promotion of renewable energy in Zimbabwe.