Ruaha Power and Husk Power Systems Join Up for Rural Mini-Grid Power Developments

By: Ruaha River Power Company Limited
DAR ES SALAAM, Tanzania - Sept. 8, 2014 - PRLog -- Ruaha River Power Company Ltd., the "Company", an emerging independent power producer, today announced that it has taken delivery of a 32kW power plant at the its Dar es Salaam workshop. The plant is destined for installation as primary generation capacity at an isolated rural "Mini-Grid" to be built, owned, and operated by the Company. The Company intends to distribute and sell electrical power, at pre-payment meters, directly to residential, commercial, and light industrial customers in an area surrounding the village of Ulelingombe in the Kilosa District, Morogoro Region, Tanzania.

The generation plant runs on syngas produced in an integrated biomass gasifier fueled by locally available agricultural residue. The plant and its related systems are supplied by Husk Tanzania, a unit of Husk Power Systems. The plant will be operated as an embedded generator within the Company's Mini-Grid under the terms of a 50/50 joint venture between Husk Tanzania and the Company.

Phase-I of the Mini-Grid development is expected to commence power deliveries by year end, and consists of the installation and commissioning of the 32kW generation plant together with four to five kilometers of low voltage distribution network and an initial 200 subscribed customer hookups. A planned Phase-II development will add generation capacity up to a combined total of  100 kW utilizing a hybrid mix of biomass and diesel generation capacity.

John Tate, the Company's CFO, said; "We are excited about taking delivery of the Husk Power Systems plant and proud to be associated with them in this venture. The launch of the Ulelingombe Mini-Grid Phase-I development represents a major milestone for our Company. We have identified suitable locations and market opportunities for several more, similar hybrid mini-grids. Coupled with attractive commercial tariffs and incentives offered by Tanzania's Rural Electrification Agency and the streamlined permitting process offered by Tanzania energy regulator EWURA, the Ulelingombe Mini-Grid represents the first of several similar hybrid Mini-Grids that we are targeting for development."

About the Company:   Ruaha Power  is committed to profitably developing and operating customized hybrid electrical power generation and isolated mini-grid distribution networks that supply underserved rural and small urban markets of Tanzania. In addition to its Ulelingombe biomass-diesel hybrid Mini-Grid development, the Company has secured water rights for, and is conducting a feasibility study on, a 25MW development of grid-connected generation capacity at potential run-of-river hydropower sites on Tanzania's Lukosi River. Continental Energy Corporation (OTCQB-CPPXF) owns a 42.5% stake in Ruaha Power and is the Company's single largest shareholder.

About Husk Power Systems:  Husk Power Systems (HPS) provides end-to-end renewable energy solution by installing, operating 25-250 kW “mini power-plants” and wiring villages that deliver electricity as a “pay-for-use” service to villages of up to 2,000 inhabitants. HPS has created a feedstock agnostic proprietary technology that cost-effectively converts biomass waste (e.g. rice husk, mustard husk / stem, corn cob, certain grass, etc.) into electricity. HPS has been operating for six years and has successfully installed over 80 power plants that power over 350 villages. HPS biomass power plants are registered under the CDM mechanism of UNFCC and each 40KVA power plant running for 6 hours a day saves 215 tons of CO2 annually. HPS added Solar PV technology to its portfolio in 2013 and has built a very low cost system to deliver up to 8 hours of power to households. HPS has electrified over 50 villages since the launch of Solar PV based micro-grids in Bihar, India. HPS is a globally recognized company with footprint in India, Nepal, Uganda and Tanzania.

Forward Looking Statements  - Any statements in this news release that are not historical or factual at the date of this release are forward looking statements. There are many factors which may cause actual performance and results to be substantially different from any plans, estimates, forecasts, or objectives described in any forward looking statements. The Company assumes no obligation to update the information in this release. No securities regulatory authority has either approved or disapproved the contents of this news release.

John Tate
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Tags:Renewable Energy, Biomass, Tanzania, Rural Electrification
Industry:Deals, Energy, Government
Location:Dar Es Salaam - Dar Es Salaam - Tanzania
Subject:Joint Ventures
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Page Updated Last on: Sep 08, 2014

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