Malawi’s economic potential hinges on embracing off-grid energy solutions and fostering robust public-private partnerships, delegates at the just-ended Malawi-European Union (EU) Investment Forum have said.
The message was delivered during two panel discussions. In the first discussion, focusing on unlocking foreign direct investment, Malawi Confederation of Chambers of Commerce and Industry chief executive officer (CEO) Daisy Kambalame called for continuous dialogue between the government and private sector.
“Policy consistency and stakeholder engagement are vital for creating a conducive business environment,” she said.
Malawi Investment and Trade Centre CEO Paul Kwengwere said special economic zones are a strategic focal point for foreign direct investment.
“We have laid out a suite of incentives to attract investors, from tax breaks to streamlined regulatory processes. These zones offer a win-win for both investors and Malawi’s local development,” he said.
In the second session, which explored leveraging off-grid solutions for rural electrification, panellists identified Malawi’s low electrification rate as a significant impediment to economic progress.
Currently, only 12 percent of the population is connected to the national grid, according to National Statistical Office data, with 45 percent connectivity in urban areas against a paltry five percent in rural areas.
The low electricity penetration in rural areas has widely been mooted as a key impediment to the growth of the agriculture sector, the mainstay of the local economy.
This energy deficit presents a silver lining as stakeholders argue that off-grid solutions, particularly solar energy, can bridge the electrification gap and stimulate economic activity.
Zuwa Energy CEO Jones Ntaukira, whose firm is involved in renewable energy provision, said there are investment opportunities in solar technologies, which offer scalable and cost-effective alternatives to the grid.
But Energie Development innovation director Géraldine Bruggeman-Palliere said the success of these ventures hinges on implementing cost-reflective tariffs.
The forum’s discussions underline a critical fact that off-grid solutions could accelerate rural electrification.
