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Friday / May 17.
HomeAgribusinessConstruction of biofuel refinery in Luapula stalls

Construction of biofuel refinery in Luapula stalls

One of Zambia’s landmark biofuel investments located in Luapula province expected to produce biofuel that will see the country cut down on petroleum imports by over US$100 million per annum has suffered setbacks resulting in construction works stalling.

Speaking during an exclusive interview with Zambian Business Times – ZBT, Sunbird Director for Agriculture Mark Muchinga stated that works on the 120 million biofuel refinery plant and factory has stalled because the equipment needed for the factory have been caught up in logistical challenges mainly due to covid 19 restrictions.

Muchinga told ZBT that the covid 19 pandemic has also resulted in some experts from China needed on the ground to progress the high tech and factory construction works being unable to travel to Zambia because of the pandemic.

“The project had already started. That’s why we are planting our nursery but a lot of things have stalled now because of the coronavirus situation. That includes the construction of the factory itself”. Muchinga said.

He further stated that “the experts that are supposed to do some of the construction work cannot come in because of the covid 19 restrictions. Even the factory itself is coming from China and that there are some Chinese that have come through and install the equipment and factory”, he said.

When asked to confirm the progress on the Cassava growing which is mostly under local control and less impacted by the covid 19 situation, Muchinga disclosed that they have so far planted 400 hectares of cassava and that Sunbird have so far engaged over 1,800 local out-grower farmers.

“We’ve got about 400 hectares of nursery cassava so far. That’s the only cassava that has been planted and that’s the nursery we are using to expand on our nuclear farm. We have so far registered about 1,824 out-grower farmers which is translating to about 2,400 hectares being cultivated”, he said.

When asked if Sunbird had approached the government or the Chinese embassy to help facilitate the factory and experts passage to Zambia, Muchinga said that “It’s something that we are working on, it’s not really the government or the Chines embassy that can work on that, but we are looking at where they are coming from”.

“To move the equipment from China to Zambia is not something that can happen in the next three to four months even if it has to start off now, because in all the routes of transit it has to take, the borders are closed”, he said.

Meanwhile he praised the Government and the Luapula Province team for the support that they are giving to Sunbird for helping them in some of the challenges they face. “We are getting the support that we need from the government. The local government and provincial are really assisting with whatever we need from them and there just a few things that need improvement but we know that when it come to that time it would happen”, he said.

Sunbird Biofuel has been allocated about 20,000 hectares of land in Kawambwa, Luapula province. According to the project brief, the company projected to complete the construction of the biofuel plant in 2020 and resume full bio-ethanol (biofuel) and about 36MW power production and sales in 2021.