A locally registered firm Why Limestone Mining is looking for potential partners to invest a minimum of $200,000 to enhance productivity of a lime plant in the district of Karonga in northern Malawi.
In a Malawi Projects Investment Compendium Volume 4 published by the Malawi Investment and Trade Centre (MITC), MD for the Company John Swira says that the opportunity being offered has the capacity of generating more benefits and is a low risk investment.
“The current developers have invested over $800,000 to date, have installed production machinery and have ran batches of lime productions successfully,” says Swira.
He explains that the business process has brought the project to the point where it is possible to offer additional new investors the following benefits: 60% to 90% shareholding in Why Limestone Limited, a company which has a capacity of production of lime of 200 tones per month.
He says what is required for the project is financiers or equity partners who can inject money in order for the business to reach its full potential, or acquisition of the business is possible.
The project which is located in Northern part of Malawi in Karonga District, currently operational, already carried pre-feasibility studies, feasibility studies and other studies.
Mining in Malawi is an under-explored activity accounting for about 1% of Gross Domestic Product (GDP) but it holds a great potential to develop Malawi’s economy and attract a great deal of investors.
According to the Geological Survey Department, an airborne geophysical survey conducted in 2015 revealed an abundance of mineral deposits including rare earth minerals, bauxite, uranium, graphite, vermiculite coal, gemstones, alluvial gold, monazite, limestone, phosphate, pyrite, glass sands, dimension stone and titanium heavy bearing mineral sands.
Formal mining activities are happening for coal, and lime while gemstones are extracted by small-scale miners.
In order to cultivate and sustain a conducive environment for growth of investments in the sector, the Government of Malawi reviewed and endorsed the Mines and Minerals Act of 2023.
The Government grants duty free and VAT free importation of mining equipment to investors in the mining sector.
In order to access the incentives, an investor is required to obtain a mining license from the Ministry of Mining.
Furthermore, the Department of Geological Survey set up a geo-data management platform to ease information access by investors and other stakeholders.
The Roads Authority says preparations are underway to resume construction works for Lirangwe-Chingale-Machinga road which stalled in March 2021 when the contract with Portuguese contractor Mota – Engil was terminated.
Public Relations Officer for Roads Authority Portia Kajanga told Mining & Trade Review that RA repackaged the remaining works for the project as “Upgrading of Lirangwe – Chipini Road to bitumen standards” which was put to tender in July this year.
“The works will involve earthworks, culvert installation, construction of lined side drains, bridges, road over rail-bridge and bitumen surfacing,” Kajanga said
Kajanga said the benefits of road project will include prevention of exposure to dust which is associated with lung infections, ease of transportation to public amenities all weather, creation of jobs for communities, creation and improvement of small scale businesses, and infrastructure improvement in the area.
Kajanga did not reveal the reasons for the termination of the contract with Mota- Engil but media reports indicated that there were hiccups for the contractor to complete the project in time.
Prior to 2014, the road had a gravel surface in poor condition and the then President Joyce Banda laid a foundation stone for the work to commence.
However, work progressed very slowly. Banda’s successor Arthur Peter Mutharika also laid a stone marking the commencement of work in 2018.
As of February 2018, only 11 percent of the work had been completed, though the initial completion date was September 2019.
The 62 km road will connect the M1 at Lirangwe in Blantyre District and the M3, a few kilometres from Machinga District Council.
The other roads in pipeline in Malawi include the upgrading the Nsanje-Marka Road which isapproximately 25.9 km earth/gravel road to bitumen standards. The road is part of a regional route connecting Malawi with the Port of Beira in Mozambique and beyond.
The Malawi Roads Authority also intends to rehabilitate/reconstruct and widen the Kaphatenga– Dwangwa Road in Nkhotakota District in the central Region of Malawi. The work will also involve replacing single lane and temporary bridges with permanent two lane bridges for the section spanning from Nkhotakota to Bua Bridge. The road will be widened to a new cross-section.
The Malawi Government will also embark on a project to construct the Mzimba – Eswazini –Mzarangwe road.This is a section on the main road designated M022.The road is approximately 45km and will be constructed to bitumen standard. This is one of the key roads in the Northern Region of Malawi as a trade route.
There is also the construction of Chiringa-Muloza Road project which is an important trade route.The road begins at Chiringa, then continues southwards along the eastern foot of the Mulanje Massif closely following the existing T415 road alignment, crossing several rivers and streams and finally joining the M2 road.
The other project in pipeline is the upgrading of Rumphi-Nyika-Chitipa road. Traversing a length of 272 km, the project will upgrade two roads designated as Main roads (M24 road from Rumphi District – Nyika and M09 from Nyika- Chitipa. Currently the road is of earth standard and will be upgraded to bitumen Class 1.
Local producers of cement have bemoaned the continued shortage of foreign exchange coupled with the decision by the Malawi Government to continue issuing more cement import licences to traders saying the situation may prompt them to close shop leading to hundreds of Malawians, directly and indirectly employed by the industry, losing jobs.
The Ministry of Trade and Industry announced last month that it had issued 30 import licences to cement traders to ensure adequate supply of the product on the market to address the escalating prices.
The development came after the Ministry had also issued cement import licences to contractors working on big donor funded road projects in light of cement shortages.
But commenting on the development in an interview, Chairman of Cement Products Limited (CPL) Aslam Gaffar said the root cause of the cement shortages is underproduction by local manufacturers due to shortage of foreign exchange to import raw materials and spare parts for plants stressing on the need to make more foreign exchange available to the cement manufacturers to import raw materials.
“We, local producers, have the capacity to meet the demand on the Malawi market but what we need is foreign exchange, which is not readily available, to import raw materials and spare parts to maintain our clinker production plants and grinding mills to produce at full capacity,” he said.
Gaffar explained that the escalating prices of cement on the local market are as a result of profiteering by traders who are charging similar prices for local and imported cement brands of the same attributes.
A snap survey by Mining & Trade Review in the major cities of Lilongwe and Blantyre confirmed Gaffar’s observation with prices for CPL’s most popular brand Njati and Shayona Cement Corporation’s leading brand Akshar fetching up to K18,000 at par with imported brands such as Sinoma from Zambia of similar strength. However, the ex-factory price for Njati is K9,800.
Gaffar observed that in a fair market situation, the foreign brands world have fetched higher prices than local brands of similar attributes taking into account transport costs and the surcharge that Government charges on imported cement.
“We, producers, are not doing import parity pricing but the resellers. Government needs to find ways of regulating the market in order to bring sanity and deal with escalation of prices for locally produced brands,” he said.
Gaffar also urged the contractors working on donor funded road projects, who are paid in US Dollars, to buy cement from the local manufacturers.
“These road projects are either European Union or World Bank funded implying that the contractors are receiving dollars. We need that Dollar to pay for our inputs but these contractors prefer to sell the Dollar at premiums and buy cement from our distributors at premium prices, and because the Dollar has been sold at a premium, they make more money,” he said.
CPL and Shayona are the only companies that produce clinker locally with CPL owning a clinker factory at Njereza in Mangochi and Shayona running a plant in Kasungu. The other local cement producer, Portland, imports clinker which is processed into cement at its factory in Blantyre.
Shayona Cement MD Jitendra Patel in a separate interview also expressed concern over Government’s move to issue more cement import licenses to traders describing it as killing the local industry.
“This shows lack of seriousness by Government to nurture the local industry to ensure that it continues creating more job opportunities while reducing the national import bill,” he said.
Patel wondered where is the logic on the part of Government in encouraging cement imports which are a drain in foreign exchange when the local producers are failing to meet the country’s cement demand due to reduced production as a result of shortage of foreign exchange to import raw materials and spare parts for maintenance of their plants.
“Importing cement as a finished product requires a lot of forex; only a fraction of that is what we need for our raw materials since we source limestone, which is a key ingredient, and some other raw materials locally,” Patel said.
Coordinator for Chamber of Mines and Energy in Malawi Grain Malunga commented in a separate interview that it will be interesting to see how these licensed importers find foreign exchange when cement producers are failing to access the same to import raw materials.
Malunga also encouraged the cement producers to find ways to source more raw materials such as gypsum, iron ore, coal and kaolinitic clays locally.
“These Companies need to explore ways to partners with local gypsum miners to source the raw material from local producers,” he said.
But Ministry of Trade and Industry Spokesperson Mayeso Msokera was quoted in the local media as saying Government will continue issuing import licenses to traders to supplement the deficit from local production.
Msokera said the licenses are valid for one year with specific limitations on quantities assigned to a trader.
Shayona Cement is a leading producer of cement in Malawi with a production capacity of 1,500 tonnes per day, and is conducting an expansion programme for its plant to increase production to 2,500 tonnes per day.
CPL, which is also running an expansion programme for its factory, has a production capacity of 1,000 tonnes per day.
Malawi has an annual market demand of about 1.8-million tonnes which the producers say they can easily meet but are producing very low quantities due to lack of foreign exchange to import raw materials and spare parts for the machines.
Assignment: Provision of legal services for the entire operations of Central Medical Stores Trust
Client: Central Medical Stores Trust
Bidding procedure: National Competitive Bidding
Deadline: 28 September, 2023
Contact: The Chairperson, Internal Procurement and Disposal of Assets Committee, Central Medical Stores Trust, Private Bag 55, Lilongwe, Malawi.
Assignment: (1) Construction of Area 51 four ways trunk line and partial distribution network, (2) Water supply network expansion in area 23 and, (3). Construction of manhole chambers in Lilongwe Water Board Distribution Network.
Client: Lilongwe Water Board
Bidding procedure: National Competitive Bidding
Deadline: 13 October, 2023
Contact: The Chairperson, Internal Procurement and Disposal Committee, Lilongwe Water Board, Madzi House, Off Likuni Road, P.O Box 96, Lilongwe.
Tell: +265 1 757 343
Email: procurement@lwb.mw
Assignment: (1) Consultancy services for construction of Area 51 four ways trunk line and partial distribution network, (2) consultancy services for construction of Water supply network expansion in area 23 and, (3). Consultancy services for construction of manhole chambers in Lilongwe Water Board Distribution Network.
Client: Lilongwe Water Board
Bidding procedure: National Competitive Bidding
Deadline: 13 October, 2023
Contact: The Chairperson, Internal Procurement and Disposal Committee, Lilongwe Water Board, Madzi House, Off Likuni Road, P.O Box 96, Lilongwe.
Tell: +265 1 757 343
Email: procurement@lwb.mw
Assignment: Supply and delivery of civic and voter education materials
Client: Malawi Electoral Commission
Delivery Period: 8 weeks
Bidding procedure: National Competitive Bidding
Deadline: 12 October, 2023
Contact: Procurement Office Reception, Development House, City Centre, Plot Number 13/5, Off Independence Drive, Ground Floor, Lilongwe.
Email: procurement@lighthouse.org.mw
Assignment: Supply and delivery of motor vehicles
Client: Malawi Electoral Commission
Delivery Period: 8 weeks
Bidding procedure: National Competitive Bidding
Deadline: 27 October, 2023
Contact: Procurement Office Reception, Development House, City Centre, Plot Number 13/5, Off Independence Drive, Ground Floor, Lilongwe.
Email: procurement@lighthouse.org.mw
Assignment: Supply and delivery of non-sensitive electoral materials
Client: Malawi Electoral Commission
Delivery Period: 8 weeks
Bidding procedure: National Competitive Bidding
Deadline: 27 October, 2023
Contact: Procurement Office Reception, Development House, City Centre, Plot Number 13/5, Off Independence Drive, Ground Floor, Lilongwe.
Email: procurement@lighthouse.org.mw
Assignment: Supply and delivery of portable generators
Client: Malawi Electoral Commission
Delivery Period: 8 weeks
Bidding procedure: National Competitive Bidding
Deadline: 12 October, 2023
Contact: Procurement Office Reception, Development House, City Centre, Plot Number 13/5, Off Independence Drive, Ground Floor, Lilongwe.
Email: procurement@lighthouse.org.mw
Assignment: Provision of cleaning services and gardening services
Client: The Times Group
Bidding procedure: National Competitive Bidding
Deadline: 20 September, 2023
Contact: The Managing Director, The Times Group, Private Bag 39, Blantyre.
Assignment: Provision of motor vehicle and motorbike maintenance services
Client: The Times Group
Bidding procedure: National Competitive Bidding
Deadline: 20 September, 2023
Contact: The Managing Director, The Times Group, Private Bag 39, Blantyre.
Assignment: Technical audit for the rehabilitation of a 55km road between Nsipe and Liwonde
Client: Roads Authority Malawi
Bidding procedure: National Competitive Bidding
Deadline: 29 September, 2023
Contact: The Chief Executive Officer, Roads Authority, Functional Building, Off Paul Kagame Road, Private Bag B346, Lilongwe, Malawi.
Email: ipc@ra.org.mw
Website: www.ra.org.mw
Assignment: Renovation of staff houses at Songwe and Mwanza Border stations
Client: Malawi Revenue Authority
Bidding procedure: National Competitive Bidding
Deadline: 17 October, 2023
Contact: The IPDC Chairperson, Internal Procurement and Disposal Committee, Malawi Revenue Authority, Msonkho House, Private Bag 247, Blantyre.
Assignment: Supply, delivery and installation of solar power equipment
Client: Umodzi Holdings Limited
Bidding procedure: National Competitive Bidding
Deadline: 6 October, 2023
Contact: The Chairperson, Internal Procurement and Disposal Committee, Umodzi Holdings Limited, Umodzi Park and Resorts, P.O Box 31489, Lilongwe. Email: hchingondo@umodzipark.co.mw / pmasautso@umodzi.co.mw
Inspire Marketing Group has organised an inter-company sporting festival titled “Corporate Carnival Malawi” slated for October 22, 2022 at Limbe Country Club in Blantyre.
CEO for Inspire Marketing Group, Corporate Carnival Malawi, Ausa Kamanga, said in an interview that the country’s first ever sporting get-together for companies is aimed at enhancing networking amongst players working in various corporate bodies with an aim to foster progressive working relationship.
The event will see employees representing different companies participate in different sporting disciplines compete for individual glory and company pride.
Kamanga explained that the event will also provide participating companies an ideal opportunity for team building, networking as well as boosting employees’ morale and pride.
“For sponsors and merchants, it is a well-defined target market for brand awareness activities and the promotion of products and services,” said enthusiastic Kamanga, who promised “an interactive fun filled-day with sports, games, music, performances, competitions, fitness and other entertaining activities.”
Competitive games lined up for the day include football, (for both men and women), netball, volleyball, basketball, tennis and a company winning the maximum medals across sporting categories will win the ultimate corporate trophy.
“To establish its course of promoting fitness and a healthy lifestyle among corporates, the festival will offer its patrons free aerobics sessions, yoga, blood pressure and sugar level checks and expert dietary tips.” she said
Assignment: Emergency works for the rehabilitation of Nasolo Bridge at Ndirande Township in Blantyre City
Client: Blantyre City Council
Bidding procedure: National Competitive Bidding
Deadline: 14 September, 2023
Contact: The IPDC Chairperson, Blantyre City Council, Civic Center, Town Hall, Private Bag 67, Blantyre.
Assignment: Supply of stationery, fertilizers (NPK, CAN, Super D), Pesticides (Dithiane, steward, chlorpyrites), cement, hardware, vetiver grass, fruit trees seedlings, local goats, chickens, maize shellers, drugs and drugs boxes and, micronutrient powders.
Client: TAPP Malawi
Bidding procedure: National Competitive Bidding
Deadline: 28 August, 2023
Contact: The Chairperson, TAPP Internal Procurement Committee, Along Likuni Road next to MDI filling station, Private Bag A21, Lilongwe.
Tell: +265 987 062 225
Email: tapp@tappmalawi.org
Assignment: Provision of procurement system
Client: Lighthouse Trust
Bidding procedure: National Competitive Bidding
Deadline: 29 August, 2023
Contact: The Chairperson, Internal Procurement Committee, Lighthouse Trust, (Conference Room), Area 33, Kamuzu Central Hospital Campus, P.O Box 106, Lilongwe.
Email: procurement@lighthouse.org.mw
Assignment: Supply and delivery of computers, printers and scanners
Client: Ministry of Transport and Public Works
Delivery Period: Within 6 weeks
Bidding procedure: National Competitive Bidding
Deadline: 15 September, 2023
Contact: The Chairperson, Internal Procurement and Disposal of Assets Committee, Ministry of Transport and Public Works, Capital Hill, Private Bag 322, Lilongwe 3.
Email: litessmulilima@gmail.com ; bazalelivvy@yahoo.com; charlesmtonga@gmail.com
Assignment: Completion of office, ablution blocks, generator house, staff houses and its associated external works at Dwangwa weighbridge station in Nkhotakota.
Client: Ministry of Transport and Public Works
Delivery Period: within 12 weeks
Bidding procedure: National Competitive Bidding
Deadline: 15 September, 2023
Contact: The Chairperson, Internal Procurement and Disposal of Assets Committee, Ministry of Transport and Public Works, Capital Hill, Private Bag 322, Lilongwe 3.
Email: litessmulilima@gmail.com ; bazalelivvy@yahoo.com; charlesmtonga@gmail.com
Assignment: Completion of works for construction of a Laybye road, holding yard and associated works at Dwangwa weighbridge in Nkhotakota.
Client: Ministry of Transport and Public Works
Delivery Period: Within 12 weeks
Bidding procedure: National Competitive Bidding
Deadline: 15 September, 2023
Contact: The Chairperson, Internal Procurement and Disposal of Assets Committee, Ministry of Transport and Public Works, Capital Hill, Private Bag 322, Lilongwe 3.
Email: litessmulilima@gmail.com ; bazalelivvy@yahoo.com; charlesmtonga@gmail.com
Assignment: Provision of consulting services for construction supervision of offices, ablution block, generator house, staff houses and associated external works and a laybye road, holding yard and associated works.
Client: Ministry of Transport and Public Works
Delivery Period: within 12 weeks
Bidding procedure: National Competitive Bidding
Deadline: 15 September, 2023
Contact: The Chairperson, Internal Procurement and Disposal of Assets Committee, Ministry of Transport and Public Works, Capital Hill, Private Bag 322, Lilongwe 3.
Email: litessmulilima@gmail.com ; bazalelivvy@yahoo.com; charlesmtonga@gmail.com
Assignment: Supply and delivery of motor vehicle
Client: Public Private Partnership Commission
Bidding procedure: National Competitive Bidding
Deadline: 12 September, 2023
Contact: The Chairman, Public Private Partnership Commission, 2nd Floor, Livingstone Tower, Glyn Jones Road, P.O Box 937, Blantyre.
Tell: +265 1 823 655
Email: info@pppc.mw
Assignment: Supply and delivery cleaning materials, consumable stores, stationery, and security services.
Client: Chikwawa Teachers Training College
Bidding procedure: National Competitive Bidding
Deadline: 14 September, 2023
Contact: The Chairperson, Internal Procurement and Disposal of Assets Committee, Chikwawa Teacher Training College, P.O Box 125, Chikwawa.
Assignment: Consultancy services for designing and supervision of construction of perimeter fence at Mchinji Fuel Depot
Client: National Oil Company of Malawi Limited
Delivery Period: 4 to 6 weeks
Delivery Site: Mchinji Depot
Bidding procedure: National Competitive Bidding
Deadline: 31 August, 2023
Contact: The Chairperson, Internal Procurement and Disposal Committee, National Oil Company of Malawi Limited, NOCMA Board Room, Kang’ombe House, 4th Floor, East Wing, City Center, Lilongwe, Malawi.
Assignment: Supply and delivery of trailer mounted diesel powered generator
Client: National Oil Company of Malawi Limited
Delivery Period: 4 to 6 weeks
Delivery Site: Lilongwe Depot
Bidding procedure: National Competitive Bidding
Deadline: 31 August, 2023
Contact: The Chairperson, Internal Procurement and Disposal Committee, National Oil Company of Malawi Limited, Kang’ombe House, 4th Floor, East Wing, City Center, Lilongwe, Malawi.
Assignment: Provision of catering services on framework agreement
Client: National Oil Company of Malawi Limited
Delivery Period: 4 to 6 weeks
Delivery Site: Blantyre and Lilongwe Depots
Bidding procedure: National Competitive Bidding
Deadline: 31 August, 2023
Contact: The Chairperson, Internal Procurement and Disposal Committee, National Oil Company of Malawi Limited, NOCMA Board Room, Kang’ombe House, 4th Floor, East Wing, City Center, Lilongwe, Malawi.
Assignment: Provision of external auditing services
Client: World Vision Malawi
Bidding procedure: National Competitive Bidding
Deadline: 7 September, 2023
Contact: The Procurement Committee Chairperson, Off Mchinji Road, Ngerengere Complex No. 2. World Vision Malawi, P.O Box 692, Lilongwe.
The Centre for Strategic Studies in the Malawi Defence Force in partnership with the Malawi University of Science and Technology (MUST) and the National Planning Commission (NPC) have organized an Energy Symposium to be held on July 18 at the Bingu International Conference Centre (BICC) in Lilongwe.
The solution-oriented symposium will bring together thought leaders and industry experts to assess key issues facing the energy sector with the view to identify measures that will revitalize the country’s energy sector, promote energy stewardship, bolster efficiency and sustainability of power generation, and supply towards accelerating the attainment of zero energy deficit and reduce energy insecurity in Malawi.
The meeting will be co-hosted by Professor Address Malata, Vice Chancellor of Malawi University of Science and Technology (MUST); Dr Thomas Chataghalala Munthali, Director General of National Planning Commission (NPC); and General (Dr) Paul Velentino Phiri, Commander of the MDF.
The theme of the Symposium is; “Optimising Energy, Oil and Gas Production in Malawi.
Reads a joint Press Statement by the Centre and MUST: “The Keynote address will be delivered by Prof Robert Rotberg, President Emeritus of World Peace Foundation, Founding Director, Harvard Kennedy School’s Programme on intrastate conflict, and Vice- Chair of integrity initiatives International
The session will include several presentations such as Industrialisation: Realising Pillar Two of the Malawi 2063; Mapping Expansion of the Malawi Energy, Oil, and Gas Landscape, Energy and National Security; Negotiating Energy, Oil and Gas Agreements , Private sector Involvement in the Energy Sector and The Role of Traditional and Community Leaders in the Energy Sector.
The Malawi Investment and Trade Centre (MITC) says it is optimistic that the upcoming 17th CII Exim Bank conclave on India-Africa growth partnership exhibition scheduled to take place from July 19 to 20 July, 2022 in New Delhi, India, will benefit private sector companies in Malawi.
MITC says in a press statement that the 17th CII Exim Bank Conclave meeting aims at exchanging knowledge and expertise in business regarding export, trade, and investment.
Public Relations Manager for MITC Deliby Chimbalu has described the meeting as an important platform that can benefit private sector companies in Malawi.
Chimbalu has invited all private sector players to take part in the conclave as one way of selling their products and services to the outside world.
She said: “The Conclave on India and Africa is a great opportunity for our private sector companies to meet and forge business partnerships with other businesses in India and even those that will be attending from other countries.”
“You know over the years, the Conclave has increased the level of economic engagement between India and Africa and we envisage that this year’s event will create new opportunities for setting new partnerships between India and Africa hence our call to Malawi private sector to be part of this event.”
As a national investment and trade promotion and facilitation agency, MITC identifies, develops and packages investment opportunities in Malawi; provides a professional service to all clientele; brands and markets Malawi as an investment destination; retains and expands trade and export activities and links opportunities to the developmental needs of the Malawi community.
This year’s meeting is focusing on agriculture and food processing, power and energy, infrastructure development, and financial partnerships and will feature an exhibition of products and services from India and African companies.
The CII- EXIM Bank Conclave on India-Africa Project Partnership was launched in the year 2005 with the support of the Ministry of External Affairs and the Ministry of Commerce & Industry of the Government of India.
Over the last sixteen editions, the Conclave has played a pivotal role in encouraging Indian companies to establish and grow their footprints in Africa.
The level of economic engagement between India and Africa has grown multi-dimensional and to reflect the changing contours of this dynamic relationship, the Conclave is being rechristened as “CII EXIM Bank Conclave on India Africa Growth Partnership” expanding the earlier focus on “Project Partnership”.
The upcoming edition will focus on project exports, trade, investments, exchange of knowledge and expertise creating shared value for business and industry at large between India and Africa
Being the continental economic partnership, the conclave has not only set the ground for many new cross-border partnerships to take roots, but also conducted a critical evaluation of the existing collaborative arrangements on the basis of which a new roadmap for future Africa partnerships would be designed.
The World Bank says Malawi’s mining sector has the potential to drive the country’s economic growth and address fiscal and foreign exchange constraints currently being faced.
In its 17th edition of Malawi Economic Monitor released in July 2023, the Brettonwood Institution says despite such potential, the sector currently, plays a relatively small role, accounting for less than one percent of Gross Domestic Product (GDP).
Reads the report: “Currently, seven larger projects are moving ahead and may begin production before the end of the decade, with many of these likely to produce so-called green minerals necessary to support the energy transition.”
“However, past mining projects in Malawi and elsewhere in the region have often failed to deliver on their promise while projections from mining firms indicate that the sector could play a significant role in the economy, these projections need to be treated with caution at this stage given the many variables that could influence the materialization of these benefits.”
“Moving ahead it will be important to ensure that these assets, which belong to the country, are not squandered.”
The World Bank also acknowledged delays in production saying the tendency and price fluctuations can create significant uncertainty around likely revenue and export outcomes.
It says: “The ongoing debt crisis in Ghana, was the result of, among others, heavy borrowing following the discovery of oil and poor public investment decisions.”
“This means there is need for both incentivizing investment and ensuring that the Government maximizes the fiscal gains from these resources over many years, and spends these resources effectively to benefit the population which will require a stable (but not necessarily low tax) fiscal regime, as well as careful assessments of the potential impact of different incentives.”
“The government is currently reforming the legal and institutional structure to support the sector and in this context, it will be important to ensure that expertise is sought to support negotiations and that all contracts are made public.”
“Malawi’s participation in the Extractives Industry Transparency Initiative (EITI) creates an important institutional framework to support this.”
On the energy sector, the Bank states that despite having a number of projects in pipeline, Malawi has one of the lowest electricity access rates in the world where by the electricity access rate for 2023 is estimated at 19 percent with severe disparities between urban 42% and rural areas 5%.
The Bank laments that Malawi has set ambitious policy goals in the energy sector, but implementation has often lagged behind.
The Government of Malawi set a goal to achieve universal energy access by 2030 whereby in 2018, it published a revised National Energy Policy (NEP 2018), which serves as the main guiding document for the sector.
NEP 2018 set the target of universal access by 2030, in line with the Government’s commitment to achieve Sustainable Development Goal 7.
This builds on the experiences of longstanding programs to increase electricity access and also incorporates recent programs, such as the United States Agency for International Development (USAID)-funded “Kick-Starter Program” and the World Bank-funded Malawi Energy Access Program (MEAP).
In 2019, the Ministry of Energy prepared a National Electrification Strategy in line with policies in the NEP 2018 whereby the NES proposes a framework through which the Government will guide accelerated access to households and businesses at acceptable quality and levels of service that is anchored in the priority policies presented in the NEP 2018.
The strategic elements of the NES are organized in four thematic pillars institutional, policy and regulatory, technical and planning, and financial that taken together define the means and processes by which electrification expansion will be implemented.
The establishment of a stable and self-sustaining ecosystem, but not necessarily the one that existed before mining began. In many cases, complete restoration may be impossible, but successful remediation, reclamation, and rehabilitation can result in the timely establishment of a functional ecosystem.
The cleanup of the contaminated area to safe levels by removing or isolating contaminants. At mine sites, remediation often consists of isolating contaminated material in pre-existing tailings storage facilities, capping tailings and waste rock stockpiles with clean topsoil, and collecting and treating any contaminated mine water if necessary.
