IEEJ：July 2017 © IEEJ2017

BY
THOKOZANI NELSON MALUNGA,DEPARTMENT OF ENERGY AFFAIRS.
PRESENTED AT ENERGY POLICY TRAINING,
JICA TRAINING CENTER, TOKYO, JAPAN ,28TH JUNE, 2017 TO 29TH JULY,2017.

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 Malawi is situated in South-East Africa and is a land-lockedcountry.
 Occupies 118,484 square kilometers with an estimatedpopulation of 17,419,395 (2015 est.).
 Bordered by Zambia to the northwest, Tanzania to thenortheast, and Mozambique on the east, south and west.
 Capital city is Lilongwe and commercial city is Blantyre.
 Official language is English while vernacular language isChinyanja/Chichewa.
 Gained independence from the United Kingdom in 1964IEEJ：July 2017 © IEEJ2017

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Currency = Malawi Kwacha
US$1 = MK 723.33
The calling code is +265
GNI per capita(year 2016):$320
GDP(year 2016):$ 5.442 Billion.

Economy depends on Agriculture as its backborn,
Main cash crops : A.
Tobacco B. Cotton, andC. Sugar.



C.

B.

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 Malawi has

installed electricity generation capacity of 361
MW and national electricity access at around 10% (l.e,30%in urban and 2% rural areas) both of which are the lowest
in the SADC region.
 The country identified energy as a priority sector number
one in order to address developments in other sectors suchas Agriculture and Industry
 The government is also very committed to improving thesecurity and reliability of energy supply throughimplementation of a number of development projects
which are aimed at increasing the installed capacity andexpansion as well as strengthening of the electricitynetwork.

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1. NATIONAL ENERGY POLICY (2003)
Has outlived its life span and currently finalizing its
review together with other associated legislations
A draft Energy Policy(2017) in place awaiting cabinet
approval.
2. LEGAL INSTRUMENTS
i.Energy Regulation Act (2004)
ii.Electricity Act (2004) and the amended (2016)
iii.Rural Electrification Act (2004)
iv.Liquid Fuels and Gas Act (2004)

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3. NATIONAL ENERGY STRATEGIES AND PLANS
i.
ii.
iii.
iv.

Malawi Integrated Resource Plan 2017
Malawi Renewable Energy Strategy 2017
National Energy Strategic Plan 2017
Draft Malawi Growth and Development Strategy(MGDS iii) 2017.
v. Independent Power Producers Framework 2016
vi. Malawi National Cook stoves RoadMap 2016

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Supply of Petroleum Products in Malawi
Malawi imports all its petroleum fuel and gas requirements
through Mozambique and Tanzania.
The daily fuel demand for the country is 1.124 million litres.
The dominant petroleum products used are diesel and petrol asshown in figure below.

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

Malawi is one of the least electrified countries
in the world with just 10% of the overall
population connected to electricity
Biomass is the dominant fuel for cooking bothin the urban and rural areas
Biomass is projected to remain dominant in
the country’s energy mix, but its contribution
will significantly decrease from over 90% in
2000 to below 50% by 2030 as shown in thefigure below.

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Energy Mix Projections 2000 – 2050

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The current suppressed electricity demand in thecountry is around 450 MW against the totalgeneration capacity of 361 MW giving a deficit ofaround 89 MW
Recent studies done by Government and ESCOM
shows that the total electricity demand in thecountry increases from 462.32 MW in 2015 to 719
MW in 2020, 1,873 MW in 2030 and 4,620 MW
by 2040,in the base scenario.

IEEJ：July 2017 © IEEJ2017

High, base and low electricity demand forecasts(GWh, sent out)IEEJ：July 2017 © IEEJ2017

High, base and low electricity demandforecasts (maximum demand, MWsent out)IEEJ：July 2017 © IEEJ2017

ELECTRICITY CONSUMPTION BY SECTORElectricity consumption in Malawi is mainly dominated by

the household sector at 41% as shown in the figure below.

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ELECTRICITY DEMAND GROWTH DRIVERS(2015 – 2020)
Mining Sector (800MW)
Manufacturing and processing (700MW)
Domestic Demand (700MW)
Service Sector (500MW)
Green Belt Irrigation Initiative (130MW)

NB:Among other strategies in place to meet this demand, GOM isplanning to develop additional power stations from different
sources.

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ENERGY PRICES EFFECTIVE: 12TH MARCH,2017.
A. PETROLEUM FUELSPRDUCTUNIT (LITRE) COST IN MWK

UNIT (LITRE) COST IN $USD

PetrolDiesel
Paraffin
Jet A – Chileka

824.7
815.8
648.7
708.78

1.14
1.13
0.90
0.98

Jet A – KIA

758.94
B. ELECTRICITY

1.05

PRDUCT

UNIT (KWh) COST IN MWK

UNIT (KWh) COST IN $USD

Electricity

57.72
C.GAS
UNIT (kg) COST IN MWK

0.08
UNIT (kg) COST IN $USD

2178.73.01

PRDUCT
Liquid Petroleum Gas

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1. FOSSIL FUELSCoalHydrocarbons
Uranium
2. RENEWABLE ENERGY RESOURCES
Hydro-Malawi’s electricity system is currently 100%fed from renewable energy resource, hydro inparticular and 99% from one river (shire)
Wind-speeds of 2-7m/s

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 Solar: Malawi is blessed with sunshine hoursof 2555Hours/year and Solar radiation of
21.1mj/M2.
 Biomass- Main source of energy for cooking
at 85% of primary energy consumed in thecountry.
 Geothermal- over 60 hot springs
documented in Malawi with maximum surface
temperatures recorded at 79°C.

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JICA/Japanese Government Rural Electrification Master Plan Electrification of Forestry reserves
 Rural Electrification Advisor.
2.
World Bank
 Energy Sector Support Project USD $84.7,2011 2018.
3.
Millennium Challenge Corporation(MCA)-USA
 Running a $USD350.7 Million Energy project witch isUpgrading Transmission and distribution networkfrom 133kV to 400kV; Revolutionarise theoperations of ESCOM(Malawi’s utilityCompany);Power Market Restructuring ;and IPP
procurement processes.2012 -2018.
1.

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1.


2.

African Development Bank

Kholombidzo Hydro Power Plant project
Sustainable Energy for All Action Agenda andInvestment prospectus projects

UNDP & GEF• Clean Minigrids Promotion project –US$3,570,000.00 ,2015-2019• Sustainable Energy Management project –US$2,120,000 ,2013-2016.

Scottish Government

3.

•

Research and Grants

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 Inadequate specialized Human Resources Nonexistence of National Energy Data Base
 Inadequate Funding for The Energy Sector

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 Survey Techniques for Energy Data Collection
 Construction of Energy Mixes and Balance Tables
 Energy Supply and Demand ForecastingIEEJ：July 2017 © IEEJ2017

Traditional dwelling

Modern dwellingIEEJ：July 2017 © IEEJ2017•Staple is nsima•Other areas rootcrops

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THANK YOU VERY MUCH!!!
ZIKOMO KWAMBIRI!!!
ARIGATO GOZAIMASU!!!

Contact :report@tky.ieej.or.jp