Chinese investors to establish coal plant in Malawi: Meet Mutharika

Malawi President Peter Mutharika recently met a team of Chinese investors at the Kamuzu Palace in Lilongwe and expressed the hope thatan increase in the production of energy will help to woo investors in the country.

President Mutharika with the Chiense investors

President Mutharika with the Chiense investors

Mutharika with the Chinese invetsors

Mutharika with the Chinese invetsors

The President said currently Malawi is producing 351 megawatts of power which is not enough for both commercial and domestic use.

According to Chen Shiangdong, the general manager for China Gezhouba Group International Engineering Company, his institution is set to establish a coal-plant at Kam’mwamba in Mwanza.

He said the project, which after completion will produce at least 350 megawatts, is expected to be completed in 42 months.

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35 thoughts on “Chinese investors to establish coal plant in Malawi: Meet Mutharika”

  1. paul mbalame says:

    It seem the points raised by Fred phiri are the most interesting and topical views raised ever since I read nyasatimes. This man should be president of this country. What a vision and articulation that surely no one can argue with. Bravo Fred malawi needs you regardless what tribe you are

  2. Anusa Bakali says:

    nn

  3. Che Nkope says:

    Byron, Malawi doesn’t have Anthracite coal being mined in the north. Most of it is Sub Bituminous type and you have also mentioned Ngana coalmine.There is no such mine in the north. Go back to your drawing board!!!

  4. Trevor Manyi says:

    Coal is 19th century technology

  5. Sapitwa says:

    Good strategic move. A power station construction project has a high capital outlay with payback over many years.
    The lifespan of coal in Mozambique could be over 70 years which is good for this plant. Not many power plants use the type of coal mined in Moatize. It’s mostly used in smelters in China and some other smelters in SA and Zim.But may be the Chinese have Technical know how to use this type of coal.
    One wonders if the mines in the North have such a long life and producing coal over 25 cv with low ash content that does not require a washing plant. If the answer is No, then this Kammwamba plant is just spot on depending on the contractual agreement with the supply source.

  6. fred phiri says:

    Fellow Malawian this chinese loan not investment is probably the single biggest inward project, probably triple the kaylekera investment by paladin.it requires prudent analysis-which country in the world would accept to have 8o% of its power supplied by another country. Push aside economics were is national security imperitives. A raw deal of this scale cannot be reversed once legal papers are signed. In my opinion the plant should relocate up north,empower malawians to increase their coal production capacity and stimulate a boom in malawi not mozambique. If common sense still fails to prevail extend rail from salima to north using lakeshore through usisya and collect coal by rail.eventualy you can link it to tazara and use it to import and export goods therby reducing our high transport costs(mtwara project) Ultimately all these projects will create infrastructure boom which will add to economic growth and local participation.zambia is a good example to learn from were government is raising billions through international bond placements for use in major infrastructure projects. Let us make the right decision and push our country forward.

  7. fred phiri says:

    To stain and namatikiti. Firstly 4oo,ooo tons translates to $25 million and at full 7oomw capacity $75 million a year to vale and mozambique government.that is equivalent to 33% of current fuel import bill. Is this in line with govt policy of export diversification.truth of matter is it is vales way of recouping their investment in moatize and current rail project paid for by us malawi taxpayers. Secondly, coal from moatize is of primarily mettalurgical or used in steel/iron ore production not thermal coal fired electrical generation. Various Malawian firms will testify to the low grade high ash coal that is cheap but detrimental to their boilers. In effect malawi will be buying coal dust as all prime coal is destined for export to the far east.finaly a decision of this magnitude would be debated in parliament where white papers would be presented by both sides outling the pros and cons. It has nothing to do with tribalism but actual economic rationality.

  8. Pitala, pitala pitala, how many times have I called you? Stop theft by leadership. Please!

  9. mbuli ya ku south and central says:

    Yeah, let’s pollute mwanza not the north. We don’t need these kind of devolpment as we have enough rivers to build power stations on. We can even do it ourselves not giving more money to the Chinese. They also will not employ any malawians as they will bring labour from China. I can see mbudzi apa thinking this is good when you are as stupid as Dpp. You are going to suffer in this 4yrs to come. This country Has no money just look at the Kwacha tumbling.

  10. Diquissone Walancula says:

    Is the Shire river be used to transport goods as previously proposed by previous Government? The new Government should improve transportation system of Malawi

  11. Pension Nenereko says:

    Mchina amapereka chiyani mu box? Si dollar – corruption immeneyo??????????

    The fact that investors have to meet a president Malawians – we are shame lickers – To me that’s why there is rampant corruption in this country. Investors should indeed be meeting MTIC not an individual who may not be there after 5 year. This partly explains what Paladin are accusing people of having too much expectations. Investors create this because they discuss deals with presidents in an opaque manner. Perhaps this would also Justify Federalism because then investors would meet the owner of resources

  12. Byron says:

    Namatikitiki,you should know that Ngana coal mine and the coal reserves in Karonga have the best quality because it is the Anthracite type of coal good for electricity generation and steel production.I have you ever wondered why a certain Australian company is establishing a power plant at Chipoka in Salina with coal transported from Karonga? Karonga has everything to contribute to the development of poor Malawi.It’s the DPP leadership which is full of politics and tribalism that’s why they can’t let investors establish a coal-fired powered plant in north

  13. Mwanangwa says:

    When other countries talk of renewable energy, we are going backwards to damaging the environment with CFC – WHAT A MESS. How many rivers can we utilize for renewable energy and stop this coal plant?

  14. Phodogoma says:

    Mlomwe ndi wochenjera sangamange coal plant ku dead region.

  15. Gas Machine Head says:

    But why coal when all other countries are abandoning it? It’s unhealthy and a hazard to the climate.

  16. ziphaliwali says:

    may b Mwanza can develop paja Kamuzu found the people there literally NAKED, despite the claim that they were bathing.

  17. Tamanda Sauka says:

    Good development. Bravo DPP and APM

  18. mtumbuka says:

    Angulu kuwuma mitu

  19. Nganga says:

    Investors should not be meeting the president but MITC.

  20. MBWenu says:

    Excellent move . Next time we hope to see a new airport along Zalewa road as part of developing Malawi . Keep it up Mr president

  21. kanyimbi says:

    Good move. Lets use coal from Mozambique otherwise people from Nyika can sabotage the electricity production.

  22. stain says:

    @fred Phiri your views make economical sense but short supply in business sense, kammwamba is strategic, that plant won’t be constructed depending on one call mine,

  23. Professor Mwanaveka-Cypress University says:

    Iiiii peturo tsitsi layamba kusosoka eishh ulendo. Yayambapo kuwonekera

  24. Alufeyo says:

    Kammwamba because of the shire bwana. Nkholombizo

  25. ENOCH says:

    IYA IKAKHALA KU NORTH MUYAMBAPO KUTI MUKHALE KADZIKO NDE BOLA KUMWANZA KUTI MUKAZAKHALA KADZIKO TIZIZAPANGA IMPORT COALYO

  26. phodox says:

    I do say it most of the time. I will say it again here. I mean if Malawi was colonized by countries like Portugal, German, China even by Pakistan or Vietnam , Malawi would have been developed by now. Unfortunately a certain useless Government colonized Malawi.This useless government just bring here only Mary meals porridge for kindergarten school participants instead of bringing sound and meaningful developmentslike the Chinese and Japan. Look at how Japan is constructing the 10 kilometer Chipembere Highway road in Limbe. Very interesting indeed.Britain do not bring any meaningful developments in Malawi.We have been with Britain over 150 years yet you can not point at anything done by Britain. Look at developments by China in Malawi, the five star Hotel, Bingu international conference center,Lilongwe Stadium etc.

  27. Trevor Manyi says:

    Straight into Mathanyulas pocket

  28. tenthani says:

    Congrates Mr President, it shows you are forecast and know exactly what’s happening in the country. Your critics should shut their mouth when they are portraying a picture as if your boys are running the country. When you are doing big things in life you always fine dogs barking behind you, please ignore the barking and keep on forging ahead.

  29. empty says:

    Aaaah for coal to reach mwanza it will transport so it will better to relocated in the north where we have better coal reserves. Its a good move, however not all projects should be timelined to 2019.

  30. Yusuf Hofmally says:

    Good decision but do we have coal reserves in Mwanza? I though abundant coat is mined in Rumphi and Kalonga? Kapena mukufuna kumachita externalise forex ponamizila kuitanitsa coal kuchokela kunja. Malawi uja kalanga ine kunaminizidwa ndi anthu akuba.
    Chimene akufuna amenewa ndi kuba forex not energy generation. Its just a conning trick.

  31. namatikitiki says:

    Fred Phiri – comment no 2, Mchenga coal is of low grade and cannot b compared to Moatize coal, the latter coal is of high industrial quality and excellent for steam turbines. Why do u think Vale Logistics pumped in billions of $s into this project? The Chinese will put the project at Kammwamba and use the Shire river for water intake and the rail line to import coal directly to the power station from Mocambique.

  32. lol says:

    This government is good with paper work…ma blackouts ndiye ayambirasotu.

  33. pat says:

    Big up sir! Thats the beginning of the country’s economic turnaround. Keep the fire burning, you are the CEO of malawi

  34. fred phiri says:

    Why establish in mwanza when coal reserves are in the north? Instead you will be using forex to import coal from moatize. Reverse the decision and set plant up north.it makes economic and rational sense.

  35. Truck says:

    GOOD MOVE MR PRESIDENT KEEP IT UP ITS PART OF JOB CREATION BECAUSE MOST MALAWIANS WILL GET JOB THERE.

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