Malawi: New Funding Will Help ESCOM Construct a Transmission Line

EU to Fund Critical Infrastructure Project in Malawi

by Ikeoluwa Juliana Ogungbangbe

The Electricity Supply Corporation of Malawi (ESCOM) Limited has secured new funding to construct a 132kV transmission line on steel-latticed towers, ensuring reliable power supply to the Central and Northern regions of the country. This significant investment aims to address the current issues with the aging infrastructure, which has been a persistent problem for the region.

The European Union (EU) has committed to fund the Eastern Backbone Transmission Line project, signing a K174 billion ($91,946,200) agreement. The funding agreement was signed by the EU Ambassador to Malawi, Rune Skinnebach, alongside Malawi’s Minister of Finance, Simplex Chithyola Banda, in Lilongwe.

According to a statement from the EU Malawi website, this project aligns with the objectives of Malawi 2063 and the EU Global Gateway strategy priority areas. The EU’s commitment to funding this project is driven by its importance in achieving sustainable development goals and enhancing the resilience of critical infrastructure in Malawi.

“This project, which ESCOM will implement, involves constructing a new 132kV line on steel-latticed towers to replace the unreliable 42-year-old wooden pole-mounted lines. This line serves important domestic, agro-based industries, mining projects, and rural growth centers,” the EU stated.

The project aims to increase the reliability of electricity supply and reduce transmission losses. Additionally, it contributes to climate and environmental objectives by modernizing the infrastructure, thus building the resilience of critical power supply networks. Replacing the old wooden poles with steel-latticed towers will provide a more stable and durable solution.

The current transmission infrastructure in Malawi is in dire need of rehabilitation. The project involves rehabilitating the 52km 132kV power transmission lines for Nkhoma-Nanjoka-Nkhotakota to Chintheche in Nkhata Bay and for Nkhotakota-Chinyama-Kanyika by replacing the wooden poles with steel-latticed towers. Additionally, the project includes the rehabilitation of the Nanjoka Substation.

Once completed, the transmission line will help Malawi tap power from Tanzania, addressing local transmission challenges faced by customers in the two regions. The current line, constructed in 1981, requires maintenance every fortnight due to its weak structures, which are susceptible to termite attacks and adverse weather conditions such as strong winds and heavy rains.

The first financing agreement will unlock the necessary funds to rehabilitate the Eastern Backbone power transmission line. The required funding comes from a concessional loan of €55 million ($59,327,125) from the European Investment Bank and a €30 million ($32,359,650) grant from the European Union. The African Development Bank will also invest in this project in parallel, demonstrating a collaborative effort to improve Malawi’s power infrastructure.

In November 2022, Swedfund International provided ESCOM with $745,000 to engage a consultant to perform an Environmental and Social Impact Assessment for the project. This assessment was a crucial step in ensuring the project’s compliance with environmental and social standards, further emphasizing the project’s alignment with sustainable development goals.

The new 132kV transmission line will replace the aging infrastructure, which has become increasingly unreliable. The existing lines, mounted on wooden poles, have been vulnerable to termite damage and harsh weather conditions. By switching to steel-latticed towers, the project aims to provide a more robust and resilient power transmission network.

This initiative is part of a broader effort to improve Malawi’s power supply and ensure a stable and reliable energy source for its citizens. The new infrastructure will support the country’s domestic and industrial needs, fostering economic growth and development.

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