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Large-scale miners project electricity demand and diesel consumption in the sector to increase by 20 percent and 35 percent respectively in 2024 due to ongoing capital projects.
According to a State of Mining Industry Survey Report for 2024 released by the Chamber of Mines last week, the mining sector is expected to consume more electricity and diesel next next compared to this year. Part of the report seen by the <a href="https://www.chronicle.co.zw/electricity-demand-expected-to-go-up-20-percent/">Chronicle</a>, reads:
<blockquote>
On average, mining executives are expecting their operations to consume more power in 2024, compared to 2023. Analysis of survey data shows that electricity demand is expected to increase by around 20 percent in 2024 while diesel consumption is expected to increase by 35 percent. Most respondents cited ongoing capital projects as the major drivers of energy.
</blockquote>
The report, however, noted that mining executives reported that power supply was generally fragile and unscheduled power outages have resulted in production stoppages and output losses.
The mining executives recommended prioritisation of mining companies for available power and incentivise private power projects including tax incentives to support investments in Independent Power Projects that supplement available power.
The Zimbabwe Power Company (ZPC) is currently generating just over 1 000MW, which is far below the required 1 800MW and this has resulted in prolonged power cuts.
Last year, the Government tabled various incentives to attract investments in renewable energy, which include guarantees for investors to remit dividends in foreign currency and be able to repay offshore loans, in a bid to meet its target.
The Zimbabwe National Renewable Energy Policy, launched in 2019 set the target of achieving a renewable capacity of 1 100MW or 16.5 percent of overall electricity supply by 2025.
By 2030, it targets 2 100MW or 26.5 percent of the overall supplies, which is in line with its pledge to reduce greenhouse emissions by 2030.
More: <a href="https://www.pindula.co.zw/">Pindula News</a>

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