Energy development in Eswatini is guided by the National Energy Policy of 2018. Since then, the country’s energy sector has been undergoing rapid transformation with the liberalization of the electricity sector to encourage private sector investment. The changes include the introduction of new policies, enactment of new laws, establishment of the energy regulator, and initiation of electricity standards. The changes are driven by Eswatini’s desire to improve energy security, access to reliable, adequate, and affordable electricity, and the mitigation of potential detrimental impacts on the environment because of the growing energy demand.
The Eswatini Electricity Company (EEC), a state-owned power utility, owns and operates four hydroelectric power plants that provide 60.4 MW of power and contribute 15 to 17 percent of the total energy consumed in Eswatini. In addition, there are five independent power producers (IPPs) operating power plants in Eswatini with a total capacity of nearly 110 MW made up of hydroelectric, biomass and solar PV plant technologies. The rest of the electricity required is imported from South Africa (Eskom) and occasionally Mozambique (EDM), particularly when issues arise with Eskom’s supply.
Leading Sub-sectors
- Financing energy infrastructure projects
- Forming Independent Power Producers on renewable energy
- Solar panels and generators
- Transmission and distribution equipment
- Hydro power generation equipment
Opportunities
Renewable energy production is now a priority for the government. U.S. energy subject matter experts can approach the Eswatini Energy Regulatory Authority (ESERA) indicating their wish to operate as IPPs in Eswatini. Small-scale sources generating less than 100 kilowatts for private consumption typically do not require a license. However, if the generation produces electricity above the permitted 100 kilowatts, the generator will require an application for an exemption from the obligation to hold a license.
Expanding access to electricity in rural areas is a priority. Off-grid solar systems and mini-grids present opportunities for bringing access to remote communities.
Resources
- Eswatini Energy Regulatory Authority - https://www.esera.org.sz/
- Eswatini Electricity Company - https://www.eec.co.sz/