THE Copperbelt Energy Corporation (CEC) is to commercialise its biodiesel plant after approval from Zambia Bureau of Standards (ZABS).

ZABS has issued CEC with a product and process certification which demands a number of documentation such as standard operating procedures, quality manuals, and policies, among others.

According to a statement availed to the Daily Mail on Friday by the CEC renewables department, the move by the corporation is a major step in product quality assurance to all customers as it will increase market share.

On January 15, the CEC renewables unit made an official application for ZABS product and process certification to the local and international standard of biodiesel defined as mono-alkyl esters of long chain fatty acids derived from vegetable oils or animal fats for use in diesel engines. Biodiesel refers to the pure fuel before blending with diesel fuel.

“In its efforts to commercialise, the biodiesel plant sought to get product and process certification from the ZABS.

“Conformance to the local and international standards has many benefits such as winning consumer confidence in the certified products resulting into increased market share and consumers’ ability to identify the products that conform to quality standards thus making quick decisions in favour of quality products,” the statement reads.

It says once certified by the bureau, the biodiesel product is presented with a better image in both national and international markets resulting into mutual recognition schemes where countries recognise each other’s products thus easing entry into regional and foreign markets.

Other advantages include: easy acceptance and promotion of new products in the markets and safeguarding the image and reputation of the manufacturer.

The certification scheme provides a technical audit of product quality and process control procedures, and that the manufacturer gets technical advisory services and information at little or no cost that will otherwise be obtained at very high cost.

On March 2, ZABS officials went for their first audit of the renewables unit to begin the certification process.

Source: Daily Mail

THE Copperbelt Energy Corporation (CEC) is exploring new markets for power sources across Africa following increased demand of the commodity in the region, says company managing director for operations Owen Silavwe.

Mr Silavwe explained that Zambia and DR Congo were the main markets for power from the corporation.

Responding to questions during the investor conference call over company interim results for the year ended 31st May, Mr Silavwe said CEC was looking for new sources in aligning with its strategy.

“Maybe just to start with the expansion, what I was basically saying is that in terms of the markets where we are selling power today it is mostly Zambia and DR Congo.

“However, from a power sourcing perspective, we are always looking around for new sources of power to ensure we align that with our strategy to have multiple sources,” she said.

Mr Silavwe said the company was interested whenever there was availability of power sources within the market region.

“If as part of that process we need to take a stake, be it in the power source itself or in ensuring that transmission capacity to enable the movement of power within the region is created, then obviously we need to take a strategic view on that.

“So we will obviously review those opportunities as they rise and then try and determine how aligned they are to the strategy that we are pursuing at the moment,” he said.

He also said CEC would continue to pursue the demand for power in the mining sector for the DRC as the country’s market was still growing.

Mr Silavwe said the power shortages in DRC just like other African countries opened up markets for CEC.

“Obviously we need to have a strategy as to how we address the potential growth in that market. And that is something that we will continue to work on,” he said.

Source: Daily Nation

COPPERBELT Energy Corporation (CEC) Plc has registered a profit of about 18 percent profit due to increased power sales to the Democratic Republic of Congo (DRC), earning over K270 million.

In its summary of unaudited results for six months ended June 30, 2016, the company has continued to influence the electricity market through its network on behalf of Zesco Limited on the Copperbelt, and to operate an interconnector with the DRC.

“The Zambian businesses on consolidated basis posted a profit of K275 million (US$25.9 million) compared to K225 million for the previous.
“Revenue at half year increased by 40 percent from K2.252 million to K3.776 million. This is mainly on account of increased power sales to the DRC mines. Net loss of K1.669 million compared to a net loss of K571 million the previous period,” the report reads.

The company attributes net loss mainly to an exchange loss of K1.140 million (US$107 million) arising from the devaluation of the naira on dollar borrowing and bad debt provision of K516 million (US$52 million).

On performance update, the report says the macroeconomic environment in Nigeria has continued to pose some challenges to the group’s operations as well as low commodity prices which had a negative impact on customers’ liquidity and ability to meet their financial obligations.
Other challenges relating to low commodity prices on the global market have led to some of the customers scaling back on their operations with the effect on the company’s power sales dropping by about 16 percent in Zambia.

The company expects higher demand to return mid to end of 2017 when most of the customers begin to draw power to implement their projects.
“Operationally on the Zambian end, the business continued to operate under the partial force majeure under the bulk supply agreement with our main power supplier and the respective power supply agreements with our mine customers.

“This entails that we can only access 70 percent of our power requirements from Zambian sources while the rest of our requirements have to be sourced outside of the country. It is expected that this regime will continue until year end,” it says.

Source: Daily Mail

The Copperbelt Energy Corporation has posted a profit of K275 million in the first six months of 2016, up from K225 million record for the previous period.

The increase in profits is mainly attributed to increased power sales to the DRC mines and increased sales at its telecoms unit.

Revenue at half year increased by 40% from K2.252 million to K3.776 million.

This is mainly on account of increased power sales to the DRC mines.

This is according to the company’s half year financial results released yesterday.

CEC however recorded a net loss of K1.669 million compared to a net loss of k571 million the previous period.

“Net loss is mainly attributed to an exchange loss of ZMW1.140 million arising from the devaluation of the Naira on USD borrowing and bad debt provision of K516 million,” it said.

In March 2016, the Company paid a total of K163 million in dividends.

“The macroeconomic environment in Nigeria continued to pose some challenges to the Group’s operations as well as low commodity prices which impact on our customers’ liquidity and ability to meet their financial obligations. The depreciating Naira resulted in increased foreign exchange risk, translating into a loss of K1.140 million,” it said.

“Operationally on the Zambian end, the business continued to operate under the partial force majeure under the Bulk Supply Agreement with our main power supplier and the respective Power Supply Agreements with our mine customers. This entails that we can only access 70% of our power requirements from Zambian sources while the rest of our requirements have to be sourced outside of the country.”

The company said it is expected that this regime will continue until year end.

“The challenges relating to low commodity prices on the global market have led to some of our customers scaling back on their operations with the effect.

Source: Lusaka Times

COPPERBELT Energy Corporation (CEC) has said the macro-economic environment in Nigeria and the depreciating Naira has increased foreign exchange risks resulting in the loss of K1.140 million.

This is according to CEC’s summary consolidated unaudited results for the period ended June 30, 2016 made available to the Times yesterday.

The company said the macro-economic environment in Nigeria continued posing some challenges to the group’s operations as well as commodity prices which impacted on its customers’ liquidity and ability to meet financial obligations.

“The depreciating Naira resulted in increased foreign exchange risks translating into a loss of K1.140 million,” it stated.

Operationally on the Zambian end, the statement said the business in the stated period continued to operate on partial force majeure under the bulk supply agreement with its main power supplier and power supply agreements with mine customers.

“This entails that we can only access 70 per cent of our power requirements from Zambian sources while the rest of our requirements had to be sourced outside the country.

The challenges relating to low commodity prices on the global market have led to some of its customers scaling back on their operations resulting in power sales dropping by 16 per cent.

The company expected high demand to return by mid to end of 2017 when the projects that a number of its customers have been implementing begin to use power.

Source: All Africa