Solar Water Heaters Manufacturing Project for Malawi and Eastern/ Southern African Countries

PROJECT DESCRIPTION:

The project is for a Malawian-owned business, Nyika Solar Technologies, which manufactures various types of solar water heaters for Malawi, Zambia, and South Africa. It aims to expand its sales to other countries in eastern and southern countries.

Business Model
The project entails full manufacturing operations in Lilongwe, with sales and installation centers in Malawi, Zambia, and South Africa. Its market advantage is that it is the only company in the region that provides consumers with a solar-heated hot water temperature guaranteed at F140˚, with a five-year product warranty on its installed equipment.

Objective
The objective is to enable consumers in the region to buy well-priced water heating technology using renewable energy. The lower demand on the electricity grid will improve the generation capacity of affected countries and help them to reduce the use of charcoal and firewood for energy.

PROJECT LOCATION:

Njewa in Lilongwe, Malawi

CURRENT STATUS/ STAGE OF PROJECT:

Operational

ACTIONS REQUIRED/ IMPLEMENTATION ARRANGEMENTS/ CONTRACT TYPE:

New investor(s) to sign investment agreement with existing shareholders of Nyika Solar Technologies Limited, commit USD 500,000 and legally take up 30% equity.
USD 1,060,000 financing will be secured through local banks or through a new investor loan repayable over a 7-year period.

AVAILABILITY OF PRE-FEASIBILITY STUDIES, FEASIBILITY STUDIES, AND OTHER STUDIES:

The technical feasibility documents have been completed by the Project Developer/ Promoter.