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Madagascar’s government has allowed its power and water utility, Jirama, to bypass normal tender procedures and buy 18 diesel generators directly from Russian company Malmekhservice, as ties between the island nation and Moscow deepen.
Madagascar’s government has allowed its power and water utility, Jirama, to bypass normal tender procedures and buy 18 diesel generators directly from Russian company Malmekhservice, as ties between the island nation and Moscow deepen.
A government decree adopted on October 6 authorised the direct purchase. The energy ministry did not disclose the value of the deal or the generators’ capacity.
Russia has moved to strengthen relations with Madagascar since a coup in October last year brought President Michael Randrianirina to power, Bloomberg reported. Moscow has donated military equipment and sent soldiers to help protect the new president.
The two countries have also discussed plans to build fuel-storage facilities in Madagascar, while Russia has established a cultural centre on the island. Randrianirina broke with tradition by making Russian President Vladimir Putin the first foreign leader he met on an official overseas trip, instead of visiting France, Madagascar’s former colonial ruler.
Madagascar has struggled with power shortages for years, with unreliable electricity supplies among the factors that fuelled public protests leading to the coup.
The new government has also moved to secure fuel supplies for Jirama by ending a 25-year arrangement under which private companies imported fuel and purchased diesel for the utility directly from China.
Despite these changes, Jirama continues to face financial pressure, spending more to generate electricity than it earns from selling it. The latest generator deal comes as the government seeks to improve power supplies while expanding its relationship with Russia.
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