By Musa Mdluli

MBABANE:Paul Kenward,the Chief Executive Officer(CEO) of the Associated British Foods(ABF) met Prime Minister Russell Mmiso Dlamini on Monday who applauded the international corporate entity for investing R1.5billion into a power cogeneration project.

ABF is a sister company to Ubombo Sugar Limited(Illovo), the ABF CEO was accompanied by Illovo Managing Director Muzi Siyaya, Commerce Minister Mancoba Khumalo and Neal Rijikernberg,the Minister of Finance when he met the PM at the Cabinet Offices.

Government online platforms reported that,this investment aims to increase Ubombo Sugar's power export capacity to the national grid from 17MW to 40 MW. 

The project is expected to be commissioned by April 2027, showcasing the Government’s commitment to enhancing energy security through increased private sector participation.In addition to the cogeneration project, the PM acknowledged an additional investment of E1.3 billion aimed at expanding mill capacity to process sugar cane from the LUSIP development.This expansion is anticipated to benefit numerous smallholder cane growers and create employment opportunities within the value chain. The combined investments from both projects are projected to generate approximately 600 jobs at peak and allocate around E200 million for local contractors, further stimulating the local economy.Moreover, the PM appreciated Ubombo Sugar’s ongoing investments in health and education facilities in the Big Bend area, highlighting their commitment to community development. The company has also been recognised as the overall Best Tax Contributor for 2024, having remitted E500 million in total contributions, which underscores their dedication to tax compliance and economic support.Overall, the total investment from 2024 to 2028 is estimated at E2.8 billion, reflecting a robust partnership between Government and the private sector in addressing national challenges”, reads the online report.