Zim pushes for ferrochrome producers to build solar plants by 2025

Staff Reporter

Government has given ferrochrome producers until December 2025 to establish their own power plants, primarily through solar energy, in an effort to reduce strain on the national grid. This move aligns with the nation’s broader objectives to enhance energy independence, address its power deficits, and advance environmental sustainability goals.

Speaking at the International Petroleum Exhibition and Conference in Abu Dhabi recently, Energy and Power Development Minister, Edgar Moyo, highlighted that ferrochrome smelters must build their own solar power plants by the 2025 deadline or revert to the standard tariff applicable to other industries.

“Most of the projects are at advanced stages of development, so I do not think any will fail. Currently, Zimbabwe’s ferrochrome producers require approximately 300 MW to operate, placing a substantial load on the national grid. With this shift to independent power production, the sector could significantly reduce its dependence on grid power,” said Moyo.

Minister Moyo emphasized that although coal remains the primary source of power, Zimbabwe is actively pursuing renewable alternatives, with solar power at the forefront.

“We are moving towards renewables to mitigate climate change. Our focus is now on solar, and we have established Government Implementation Guarantees to attract private-sector investment and Independent Power Producers into the sector.

“The mining sector, consuming about 25 percent of Zimbabwe’s energy, is a major driver of demand. Ferrochrome and nickel production, in particular, are highly energy-intensive processes. As it stands, ferrochrome producers rely on subsidized electricity, a costly arrangement that Government considers unsustainable,” he explained.

According to economist, Mercy Shumba, the new solar plants could supply stable, onsite power for ferrochrome producers, while any surplus energy could be fed back into the national grid to support other sectors.

“Solar plant construction will also create jobs and support environmental goals, reducing carbon emissions in line with Zimbabwe’s commitment to the Paris Agreement,” she noted.

The Paris Agreement, established in 2015, seeks to limit global warming and address climate change. Zimbabwe’s commitment to this accord aligns with its shift towards renewable energy as the Government works to reduce carbon emissions and dependence on coal-fired power.

Zimbabwe currently generates about 1,094 megawatts (MW) of electricity, which falls significantly short of its peak demand of 2,200 MW. The country’s ongoing power challenges have worsened due to the dwindling water levels at the Kariba Dam, following poor rainfalls in the 2023/2024 rain season. With Kariba’s 1,050 MW hydropower station operating below capacity, Zimbabwe has had to rely heavily on the Hwange Thermal Power Station. Although Hwange was recently upgraded to add 600 MW to its capacity, its aging equipment limits production, and it cannot fully meet national demand.

As Zimbabwe aims to build a more sustainable energy landscape, the push for ferrochrome producers to adopt solar power represents a significant step. By alleviating pressure on the grid, creating economic opportunities, and reducing carbon emissions, this initiative could lead to more resilient and eco-friendly industrial growth.