By Lungile Siziba
The Second Republic has been on a vigorous campaign to make investors desire to take up opportunities that exist in Zimbabwe.
To its credit, the Government realised that having lucrative investment opportunities alone was not enough to convince investors to come to Zimbabwe as various other considerations such as availability of electricity, its cost and roads to the market, were also critical.
Now, the country has several projects underway in the energy sector, some being undertaken by the Government itself and others by private players that have seen an investment opportunity and seized it.
The electricity generation projects cut across the energy mix including thermal, solar and hydro electricity.
Undoubtedly the biggest energy generation project taking place in the country is the expansion of the Hwange Thermal Power Project.
Hwange is being expanded through the addition of Units 7 and 8, which on completion will add a combined 600MW.
Considerable progress has been achieved so far, amid indications that work has been done on about 88,3 percent of the project.
The Government has conceded that its focus is now on the completion of the expansion project. Key activities done in respect of the expansion project include the installation of boilers, turbines, transformers and construction of a 400Kv transmission line.
Finance and Economic Development Minister Professor Mthuli Ncube reecently said Unit 7 was expected to be completed by November 2022 with Unit 8 coming on stream in the first quarter of next year, paving the way for the first six units to be rehabilitated to boost electricity generation.
Prof Ncube said against the loan facility of US$998 million for the expansion project, cumulative disbursements to May this year amounted to US$443 million, with a further US$334 million expected to be spent up to year end.
“In line with the loan agreement disbursements of $138,6 million from the fiscus went towards payment of local costs and an additional amount of $1 billion is being proposed to meet the same.
“This was complemented by development partner support amounting to US$2,2 million in support of programmes and projects under the energy sector during the first quarter. The resources were channelled towards Alaska Karoi Power Transmission Project, Kariba Dam Project and the Emergency Power Infrastructure Rehabilitation Project Phase II,” said Prof Ncube in the mid term fiscal policy review recently.
As the expansion project continues, Zesa Holdings’ electricity generation unit, the Zimbabwe Power Company, is pacing up the Deka Upgrade Project.
ZPC spokesperson Ms Fadzai Chisveto recently said the US$48,1 million Deka water project was expected to increase water supply at Hwange Thermal Power Station, which will in turn increase electricity generation for the benefit of consumers.
Pipes for the Deka water project, which will see water being drawn from the Zambezi River, have started arriving in Hwange.
Excavation of trenches where the pipes would be laid has already covered 37km of the 42km being targeted.
In total, 3 555 pipes will be delivered from India, which is funding the project by a line of credit extended by Zimbabwe.
