Friday, February 23, 2024
HomeNationalMalawi Government launches $20m off-grid Market Development fund

Malawi Government launches $20m off-grid Market Development fund

PUBLISHED BY

Malawi’s Ministry of Energy has launched the first-ever US$20 million off-grid Market Development fund dubbed Ngwe Ngwe Ngwe to increase access to electricity through off-grid solutions.

World Bank is providing financial support to the fund, which will provide loans to eligible off-grid solar companies up to $14 million as working capital to expand the operations and speed up procurement, importation, and make installation of solar home systems that will be sold to rural Malawians at an affordable price.

Minister of Energy Ibrahim Matola said during the launch of the fund on Friday in Lilongwe that the fund will also give $5.5 million to provide end-user with subsidies to close the affordability gap of rural customers that cannot afford solar home systems at the current commercial prices.

Minister of Energy Ibrahim Matola (R) during the launch

“The idea is to make these local off-grid solar companies grow to the extent of being able to access capital on the market for the expansion of their business and at the same time make electricity access in rural areas,” he said.

Matola added that the fund will create a market catalyst fund of $500,000 to support small scale off grid market based transformative solutions to scale up the renewable energy transition.

According to him, the off-grid component will add five percent to the national electrification rate currently at 18 percent with 11.4 percent from the national grid and 6.6 percent from off-grid solar solutions.

World Bank Country Manager, Hugh Ridell assured Malawi of the bank’s commitment to ensuring access to electricity in rural areas.

“The fund is part of a larger project to get households connected to off-grid solar solutions,” he said.

Ridell added that the fund will be used by the private sector where more jobs will be created.

Almost 200, 000 households in rural areas will be connected to off-grid solar by 2024.

RELATED ARTICLES

Ministry of Education committed to prioritizing education

The Ministry of Education has committed to prioritizing education in the country as an enabler of national development at a commemoration of the International Day of Education that took place in Lilongwe.

Business operators plan vigil to force authorities to enforce relocation of refugees to Dzaleka

Small-scale business operators have disclosed a plan to hold a vigil on 16th march 2023 at Capital Hill in Lilongwe to force the Malawi Government to relocate the refugees and asylum seekers back to Dzaleka Refugee Camp in Dowa.

Nigerian billionaire Mmobuosi commits MK500m towards construction of 75 houses for cyclone survivors

Nigerian billionaire Dozy Mmobuosi has committed to supporting Tigwirane Manja Housing Project with finances for the construction of 75 houses for cycle survivors in Phalombe and Zomba.

NASFAM recommends AIP restructuring, improvement in farmer : extension worker ratio

National Smallholder Farmers Association of Malawi (NASFAM) has recommended the restructuring of the Affordable Input Programme (AIP) in order to maximize its benefits to individual farmers and the nation at large.

Latest Posts

popular posts

Mchinji’s agriculture committee emphasises on collaboration

Mchinji District Agriculture Extension Coordination Committee (DAECC) has stressed the need for strong relationships and collaboration among stakeholders to sustain agriculture initiatives being implemented in the district.

Woman drags Nankhumwa to court over child maintenance issues

A little known woman, Letina Kamwamba, has dragged Leader of Opposition and Democratic Progressive Party (DPP) presidential aspirant, Kondwani Nankhumwa, to court over child maintenance issues.

2024 Aviator Strategy and Tips to Win (TESTED AND VERIFIED)

With the recent surge of users on Premierbet Malawi Aviator; we keep seeing many Facebook and Twitter posts about whether there’s a strategy of some sort for the Aviator game. We haven’t seen any definite answers to this which pushed us to answer this, using a program that compiles the results and gives you an idea of different strategies and numbers to try on Aviator.

MCP publicist Reverend Maurice Munthali resigns

Publicity Secretary for the Malawi Congress Party (MCP) Reverend Maurice Munthali has resigned from his position, citing the prevailing governance atmosphere marred by persistent corruption allegations and related scandals as reasons for his resignation.

MK17.28bn Mzuzu Civic Office Complex construction at 45%

Plem Construction Limited (PCL) has disclosed that progress of the construction of the first ever Mzuzu Civic Office Complex is at 45 percent.
Nthanda Times