30 Nov 2015

Construction of a 300MW coal fired power station and coal mine by Shumba Energy will take off once Power Purchase Agreement has been finalised.

Addressing Palapye Sub Council meeting recently, Shumba Energy project development manager, Mr Comfort Molosiwa said the power purchase agreement has not been signed yet, as Shumba Energy was in discussion with regional utilities and end users, including major energy users in South Africa, who have expressed interest in direct supply from Sechaba power project.

The project is envisaged to take off by 2018/19 for export or sale to domestic market on the basis that government was expected to target Independent Power Producers to deliver power from 2020/21.
He said Sechaba Power Supply was envisaged to be integrated into Botswana Power Corporation grid at 400kv with Morupule B substation being the point of connection.

He explained that supply to Namibia could be transmitted through Morupule B to Phokoje, Matimba and then wheeled through Eskom network to Namibia.

He said Shumba Energy has already injected P5 million to carry out project preparations, adding that the company has conducted among others transmission studies, power station selection and design studies, water and environmental and social studies.

Furthermore, he said water demand for Sechaba Project was 1.2 million metre cubic of water, but government’s preference was for projects to develop scheme specific surface or groundwater options as the supply source for this type of development.

He said ground water was a proven long term solution in Botswana’s mining industry.

He said a pre-feasibility study was completed in 2013 with the aim to identify water supply of one million to two million cubic metres within 50km radius.Sechaba Power Project would be located 47km north west of Palapye near Lechana. Ends