EGENCO denies feared generators mess

The Eectricity Generation Company (Malawi) Limited (EGENCO) has dismissed reports that it would require about K32.3 billion per month to operate its diesel generators, describing the figure as inaccurate and based on assumptions that do not reflect the company’s actual operations.

In a press release, EGENCO said the reported figure was calculated using an assumed fuel consumption rate of 500 litres per hour per generator, the prevailing pump price, 23 generators and 16 operating hours per day.

The company said diesel generators do not operate continuously at full load and therefore do not consume fuel at 500 litres per hour under normal operating conditions.

EGENCO also clarified that fuel used for electricity generation is not purchased at retail pump prices, as the pricing structure differs from that of fuel used by motor vehicles.

EGENCO further said it is not hiring diesel generators, contrary to claims made in some public statements and on social media.

The company said it already owns diesel generators located at Mapanga, Kanengo, Lilongwe A and Lubinga, although some are currently non-operational due to a shortage of critical spare parts.

According to EGENCO, its plan is to rehabilitate and recommission the existing generators to supplement hydropower generation during periods of peak electricity demand.

The company said Government has allocated approximately US$8.1 million for the procurement of critical spare parts for both hydropower stations and diesel generation facilities, with all currently non-functional diesel generators expected to be back online by December 2026.

Meanwhile, EGENCO has also rejected the assumption that all 23 generators operate simultaneously for 16 hours every day, saying the units are dispatched according to system requirements and are mainly used during peak demand periods.