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Zimbabwe secures additional 300 MW from SAPP
ZIMBABWE
THE Zimbabwean government said on July 30 that the country had started receiving an addi- tional 300 MW of electricity from the Southern African Power Pool (SAPP) under a $15mn deal. is has resulted in load-shedding being eased across most areas of the country, which is strug- gling with severe power shortages. Power cuts have been known to last up to 18 hours per day.
Zimbabwean Minister of Information Mon- ica Mutsvangwa said at a post-cabinet press brie ng that the Zimbabwe Electricity Transmis- sion and Distribution Co. (ZETDC) had mobi- lised a $2mn facility to pay for the additional power, which is being received mainly during o -peak hours.
“ is additional power has reduced the dura- tion of load-shedding in most areas,” Mutsvan- gwa said.
Zimbabwe is currently generating around 900 MW of electricity, but demand is at around 1,600 MW, and 1,700 MW at its peak. Com- pounding the situation is the fact that domestic power generation has su ered this year owing to a drought that has led to reduced dam water levels in Kariba, which supplies water to the Kar- iba South hydropower plant (HPP). e plant is Zimbabwe’s largest, with an installed capacity of 1,050 MW. Meanwhile, ageing coal- red plants in the country keep breaking down.
On top of this, the country nds itself in a di cult position, as its debts to regional utili- ties have curtailed further imports from those rms. e country owes South Africa’s Eskom and Mozambique’s HCB a combined $60mn in power imports. Nonetheless, Zimbabwe is in the process of negotiating for an additional 400 MW of power imports from Eskom, a er recently giv- ing the utility a $10mn part-payment. is has reduced its debt to Eskom to $23mn as of last month.
Zimbabwean Acting Minister of Energy Sekai Nzenza said utility ZESA Holdings was negotiating with an unnamed local bank for a $15mn loan to pay Eskom to unlock additional power supplies to the country.
Eskom is itself struggling to meet South Africa’s electricity needs and reported a record $1.5bn annual loss on July 30. Reuters reported that the utility had no immediate comment on its negotiations with Zimbabwe.
Loss-making ZESA’s acting CEO said ear- lier in July that the utility required $14mn for monthly imports from the regional power mar- ket. Zimbabwe’s energy regulator is considering raising the electricity tari to help ZESA raise money to buy components for its coal-fired plants as well as import more power.
While Zimbabwe will struggle to end its power
shortages in the short term, some relief could be coming in the medium term when new gen- erating capacity comes online. On July 29, the Zimbabwe Power Co. (ZPC), a ZESA subsidiary, said that work on the $1.5bn Hwange expansion project was progressing on schedule.
“Come January 2022 Hwange Expansion will deliver 600 MW to the national electricity grid,” the company said on Twitter.
China’s Sinohydro is carrying out the expan- sion project on Units 7 and 8 at Hwange, and the work is now at 18% completion.
The company said a number of develop- ments were in progress at the Hwange site. is includes site levelling works for the power plant, excavation for the Unit 8 boiler house section, the rerouting of ash pipes and the cooling water fore-bay foundation.
“Meanwhile, concrete construction of foun- dation for main power building, Unit 8 section, batching plant and the construction of the chim- ney foundation are now complete,” the company added.
The plant will provide much-needed relief when it comes online, but more gener- ating capacity – or power imports – will still be needed.™
Week 30 31•July•2019 w w w . N E W S B A S E . c o m P9