Project name: Coal-fired Thermal Power Station at a cost of US$1.5 billion.
Project description: The government plans to utilize the huge coal reserves in the Mpaka region in the proposed 1000 MW coal fired thermal power station. The project is expected to offset import bills and also generate excess energy for export to Southern Africa through the SADC grid.
The payback period for this project is a minimum of 25 years. However, more analysis is needed to determine the rate of return on capital.
Implementation period: 4-6 years
Operational date: End of 6 years
Work achieved: Pre-feasibility study
Project site location: The project is in Mpaka, which is close to the coal belt.
Existing infrastructure: The area has coal reserves estimated at 150 million tonnes. Cooling water and 400kv electricity capable of carrying up to 2000mw is readily available.
Partners: Government and foreign investors. Percentage of ownership would depend on levels of contribution.
Market size
Current production is an estimated 60 megawatts.
Local demand is estimated at 200megawatts
Imports account for an estimated 180 megawatts
Export demand: +/-5000 megawatts
Incentives: Incentives for this investment opportunity include a 10% corporate tax, training rebate and other special incentives.
Local market: Only one company is currently operating in this field.
Coordinating entities: Swaziland Electricity
Company (SEC) and the Swaziland Investment Promotion Authority (SIPA).
For further information on this joint venture contact SIPA.
Contact person: Zizwe Vilane
Director: Foreign Direct Investment
e-mail: vilanez@sipa.org.sz
