Energy Sector

Malawi is one of the least electrified countries in the World; approximately, 19% of the population has access to regular electricity.

If the full potential of the economic power demand growth drivers (mining, manufacturing, processing, domestic use, service sector and irrigation needs) are realized, the total power requirement is estimated at 2,830MW by 2030.

Electricity generation comes from 11 power stations. The total installed capacity of the interconnected grid in the country stands at 590.1MW, of which 398.9MW comes from 4 hydro-electric power stations along the Shire River. Diesel power generation contributes 131.2MW and 60MW is from Solar Power.

Coal is imported to supplement local production, which because of under-investment, is mined below capacity.

The current suppressed electricity demand (if all step loads were supplied with power) stands at 750MW. However, it is projected that the demand will grow to 1,200MW in 2025.

The sectoral contribution to GDP of the energy sector over the past few years, with an estimation for 2021 and projections for 2022 and 2023

Sectoral contribution to GDP (%)

The annual percentage growth rate of agriculture over the past few years, with an estimation for 2021 and projections for 2022 and 2023

Annual percentage growth rate (%)

Investment opportunities in the energy sector include

Hydro Power

The Ministry of Natural Resources, Energy and Mining has conducted feasibility studies on some of the potential sites and is still  conducting the studies on other sites as well.

Thermal Power

Malawi has substantial coal reserves, mostly located in northern part of the country for thermal power generation in excess of 1,500 MW..

Solar Power

Solar radiation in Malawi is amongst the highest in the world

Wind Power

Based on preliminary studies on the potential of wind generated electricity, it has been found that the west of the country has wind speeds of between 5-7 m/s.

Biomass

Malawi’s energy supply is dominated by biomass (firewood, charcoal). There is potential to manufacture and supply clean and efficient cookstoves using biomass energy