By: Ecofin Agency

Malawi has added 10 MW of solar capacity to its power system as state-owned EGENCO diversifies a generation fleet that remains heavily dependent on hydropower.

EGENCO commissioned the solar plant on Monday, August 10, in Nanjoka, Salima district. The facility is the first phase of a project designed to reach 50 MW. According to EGENCO, the project will be developed in three stages of 10 MW, 10 MW and 30 MW. The company has already acquired 110 hectares for the full development.

Construction of the first phase began on July 5, 2024, after the contract was awarded to Chint Electric Co. Ltd. The work was scheduled to take 18 months at an estimated cost of $13.55 million, financed from EGENCO’s own resources.

EGENCO is already preparing the next phases. The company plans to hire a consultant to conduct studies for the additional 40 MW.

The Salima plant significantly increases solar capacity within EGENCO’s own generation portfolio. Before the commissioning, the utility reported 444.67 MW of installed capacity, including 390.15 MW of hydropower, 53.22 MW of thermal power and just 1.3 MW of solar.

The diversification comes as Malawi also invests in greater flexibility for its power grid. In late July, the country commissioned a 20 MW/40 MWh battery energy storage system in Kanengo to support the integration of renewable power and ease supply constraints.