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Malawi
POWER AFRICA FACT SHEET
Power Africa has supported the development of 98 megawatts (MW) of electricity generation projects in Malawi. In addition, various firms have received U.S. Embassy support to move transactions forward. The page below gives an overview of the energy sector in Malawi, explains Power Africa's involvement and lists Power Africa’s financially closed transactions in the country, some of which are already online and generating critical electricity supply for the people of Malawi.

MALAWI ENERGY SECTOR OVERVIEW
Population: 18.14 million | GDP (1): $7.07 billion
With a high population density, Malawi has one of the lowest per capita GDPs in the world. The country has the capacity to generate 439 megawatts (MW), though Malawi’s heavy reliance on large hydro is often constrained by drought and low water levels.
Malawi’s energy sector has gone through important sector reform efforts recently, including the unbundling of the national utility, the Electric Supply Company of Malawi (ESCOM) and the establishment of the Electricity Generation Company of Malawi (EGENCO). The restructuring of Malawi’s power market is underway, with strong investor interest and political will for Independent Power Producers (IPPs) to enter the market. Moving forward, there is high potential for solar and new hydro technologies to enter into the power market.
Power Africa is supporting three projects totalling 470 MWs, including 120 MWs of new solar PV generation and 350 MWs of new hydro. Construction of the 60 MW Salima Solar project started in March 2020, but is now on hold due to COVID-19. Power Africa is also supporting the development of the 350 MW Mpatamanga Hydro project, which is a Public Private Partnership; a PPA and Implementation agreement is expected to be approved before December 2020. Issues with transparent utility regulation, access to finance, and sustaining off-grid projects persist.
GENERATION CAPACITY
Installed Capacity (2): 532 MW
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Hydroelectric: 372 MW
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Solar: 60 MWs expected to be online in 2021
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Biomass: 18.5 MW
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Other/Diesel: 141.5 MW
Power Africa new MW to date at financial close: 98 MW
CONNECTIONS
Current Access Rate (3): 15%
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Rural: 5%
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Urban: 62%
Power Africa new connections: 295,985
POWER AFRICA SUCCESS STORIES IN MALAWI
Building Malawi’s First Utility-Scale Solar-Plus-Storage Power Project
Living without electricity is the reality of approximately 85 percent of Malawian households. To accelerate access to electricity and unlock the potential of the off-grid sector, Power Africa is providing financial assistance and operational support to private sector solar home system (SHS) companies in Malawi to help them scale operations and product sales, and increase household connections to electricity.
Watch this three-and-a-half-minute video to learn more about the interventions Power Africa is implementing in Malawi and hear about the impact our work has made through the voices of SHS companies and one of their customers.
Read more about Power Africa's impact in Malawi on our blog.
Performance Management Tweaks Boost Power Generation in Malawi

POWER AFRICA FINANCIALLY CLOSED TRANSACTIONS IN MALAWI
October 21, 2019
Nkula A Rehabilitation (Hydro – 12 MW)
Financial Close Date: 09/29/2015
Commercial Operations Date: 09/01/2018
Estimated Project Cost: $45M
Overview: Through the Nkula A project, the Electricity Company Malawi Limited (EGENCO) rehabilitated, upgraded, and modernized the Nkula A Hydropower Plant. The plant’s original nameplate capacity of 36 MW was restored from previous operations at 24 MW prior to the rehabilitation. Power Africa partner, the Millennium Challenge Corporation (MCC), provided support through the Millennium Challenge Account-Malawi which awarded the contract for the rehabilitation, upgrade, and modernization of the power plant to Andritz Hydro (Austria) in a joint venture with Mota Engil (Portugal).
JCM Salina Solar (Solar 60 MW)
Sources
Last updated: January 19, 2022
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