ZESA cancels Kariba South hydro deal

The Zimbabwe Electricity Supply Authority (ZESA) has scrapped the Memorandum of Understanding (MoU) signed between the Zimbabwe Treasury and Chinese firm Sino Hydro for the expansion of the Kariba South hydropower project.

ZESA has said that it wants a more transparent tender process.

Kariba South currently generates 750 MW, and the MoU was for raising its capacity to 1350 MW.

Investment in Zimbabwe’s power sector has been limited over the last decade, with ZESA failing to provide industry with an uninterrupted power supply. Twelve-hour load-shedding outages have become commonplace.

Josh Chifamba, CEO of ZESA, said that the agreement awarding Sino Hydro the Kariba expansion contract had “jumped the gun”.

“The feasibility studies had not been done,” he said. “We were going to have problems with other Chinese partners. The only way to go was to go to international tender. We need maximum transparency to encourage funding.”

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