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Home Science & Technology Energy

Natural resources & energy ministry makes E812m

Khulekile Mhlanga by Khulekile Mhlanga
October 13, 2025
in Energy, News
Reading Time: 2 mins read
0
Prince Lonkhokhela, Minister of Natural Resources and Energy. Courtesy pic

Prince Lonkhokhela, Minister of Natural Resources and Energy. Courtesy pic

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Mbabane – The Ministry of Natural Resources and Energy in Eswatini successfully collected E812,271,041.00 revenue between July and September, according to the second-quarter performance report recently tabled in Parliament.

This impressive revenue collection was achieved while the ministry simultaneously advanced critical national projects in energy, infrastructure, and rural development.

The ministry is driving several key projects to enhance energy security and infrastructure. The Eswatini Energy Regulatory Authority (ESERA) is finalizing the procurement of a minigrid developer for a pilot plant at Bulimeni, a direct outcome of findings from the African Minigrids Program (AMP). ESERA is also reviewing project documents for the 75MW solar PV project; financial closure is expected before the end of the year, enabling the commencement of construction for the first 20MW of generation capacity.

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The Electricity Company (EEC) continues to monitor the construction of the 13.5MW Lower Maguduza Power Station by the Independent Power Producer (IPP). EEC has also mobilized funds for the 10MW Maguga expansion and is actively drilling for an 80MW geothermal project. Furthermore, an agreement has been reached between EEC and ESKOM for the supply of electricity for the next 10 years, which grants EEC the opportunity to sell excess power to the region. This follows the completion of the 132kV line from Nhlangano to Lavumisa and at Edwaleni to Mbabane.

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In addition to these, negotiations for a 40MW co-generation project are ongoing, with target financial close and construction set for before the end of December 2025.

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The Rural Electrification Action Fund (REAF) report indicates that 18 group schemes comprising 589 households were energized. Separately, 5,728 households in the Shiselweni region have been connected through the World Bank-funded NRAP project, with 1,659 of those connected through ready boards.Regarding the strategic oil reserve facility, the report reflects that the Eswatini National Petroleum Company (ENPC) facilitated the release of funds by completing the required conditions precedent documents. These funds have been cleared by the EXIM Bank of China (Taiwan). ENPC is conducting shareholder consultations with the Construction Industry Council and the KaMkhweli community leadership.

During this period, the Ministry processed and issued 105 Export Permits, 332 Import Permits, 58 Mineral Dealers Licences, and 30 Explosives Permits and Licences.

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Minister for Natural Resources, Prince Lonkhokhela, highlighted that the global coal market faced challenges due to weakening demand from China and India, rising inventories, and increased supply from emerging markets. He noted that despite a sharp decline in demand, price volatility persisted due to geopolitical tensions and erratic weather affecting power systems.

In departmental updates, a site that received a grant has been awarded to a contractor, and construction has begun with an initial three-month scope of works that includes site clearing, excavation, geotechnical survey, and drilling of boreholes. The Geological Surveys and Minerals Department is continuing to map the country’s bedrock to provide reliable information for potential investors.

Tags: Eswatini
Khulekile Mhlanga

Khulekile Mhlanga

Khulekile Mhlanga is an aspiring journalist currently interning at Independent News Eswatini, known for strong writing and editing skills. A student at Limkokwing University of Creative Technology, she is passionate about storytelling and dedicated to uncovering the truth in a fast-paced media environment. She is committed to ethical reporting and to building trust with both sources and audiences.

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