Tanganda invests US$8m in solar projects

Zim Now Writer

Tanganda Tea Company has invested a total US$8 million in solar projects as the listed tea processing firm tries to cut on its electricity costs.

This comes as the country has been experiencing punishing power outages running for between 16 to 20 hours per day, thereby compromising productivity in a big way.

Tanganda chief executive officer, Timothy Fennell, while briefing stakeholders at an annual general meeting this week, divulged details of the latest investment.

“We have invested US$8 million on three solar projects. To date, the company has installed a 1,8 MW solar plant at Ratelshoek Estate, a 1,4 MW solar plant at Jersey Estate and a 1,2 MW solar plant at Tingamira Estate,” he said.

Fennel said Tanganda had three smaller solar plants and there were plans to roll out one every year in the next three years at an anticipated cost of US$4 million, which is expected to save about US$700 000 monthly.

This comes at a time when the tea processor is also pursuing a cross cutting export growth in the midst of intensified value addition efforts.

These efforts are targeted at extracting maximum value from the firm’s products, a move which resonates with the local industrial strategy calling on companies to penetrate export markets and deepen linkages to mobilise foreign currency for internal use.

In the twelve months ended September 30, 2022, bulk tea exports grew by 11% to 7 125 tonnes from the prior season’s 6 392 tonnes. This was despite tea production volumes of 8 670 tonnes being 6% lower than prior year’s 9 179 tonnes due to the dry weather periods that were experienced during the farming season.