Uganda’s Mayuge Sugar Industries is set to begin the construction of $63.6 million estimated to generate 23MW at its sugarcane waste power plant, Footprint to Africa reports.
Uganda’s Mayuge Sugar Industries will soon begin the construction of $63.6 million sugarcane waste power generation plant, estimated to generate 23MW.
On completion, the plant which is said to be 26% of the country’s currently installed capacity will start producing power; one unit of power will be sold to the Uganda Electricity Transmission Company at a price of $0.095.
Although the tariff is low, the company general manager, Kanu Patel, explained that the rate is wholesale and does not apply to electricity end users.
Patel said the rate is based on the fact that most of the electricity on the national power grid is from Bujagali hydropower plant, adding that it’s the most expensive of Uganda’s hydropower generation companies.
In his address at a recent public gathering in Mayuge District, Patel highlighted that they would need 10,000 tonnes of sugarcane daily for power generation.
He said that, presently, up to 9,394 outgrowers supply the factory with 1.7 million metric tonnes of sugarcane annually.
“At least 20,000 people will be getting work. Suppose one truck is loading cane in the field, the outgrower, a loader, the harvester, the transporter plus the turn boy will get jobs per one truck loading,” he added.
Patel stated that the company shareholders will contribute 35 percent towards the sugarcane waste power generation plant, while the balance will be secured through debt funding.