Aspiring to increase its global footprint, China CAMC Engineering Company has turned its attention to Zimbabwe.The majority of conditions to access $150 million from a Chinese firm, China CAMC Engineering Company, has been met by the Zimbabwe Electricity Transmission and Distribution Company (ZETDC), a division of ZESA Holdings.
This is for the construction of a 400kV power line from Mutare to Triangle in the Lowveld.
ZESA spokesperson, Fullard Gwasira, told The Financial Gazette this week that the power utility and the Chinese firm, which is a unit of China National Machinery Industry Corporation, have agreed on most of the contractual conditions to date.
However, Gwasira could not reveal which conditions have been met so far and those that are still outstanding.
“Contract negotiations with China CAMC Engineering Company for the injection of $150 million for the construction of a 400kV power line from Mutare to Triangle are still in progress although most of the provisions in the intended contract have been agreed on,” Gwasira said.
Zimbabwe to grow regional power
When completed, Gwasira added, the project would ensure that the national electricity grid is reinforced as well as extend power of other regional power utilities.
“The project also has considerable societal benefits to the communities as the power utility would also accordingly uplift the lives of the concerned consumers in the areas that the project would be undertaken,” he said.
ZETDC, according to Gwasira, is also planning to construct another 400kV transmission line from Alaska to Sherwood at a cost of $60 million.
It is understood the company will use internal resources.
Zimbabwe requires about 1,400MW peaking power, but currently generates capacity of approximately 980MW. To cover for the electricity shortfall, ZETDC is importing up to 350MW from regional power utilities. Read more on Zimbabwe...
ZETDC is importing up to 300MW from South Africa’s power utility, Eskom, and up to 50MW from Mozambique’s Cahora Bassa hydro scheme.
The Shenzhen Stock Exchange listed firm has completed more than 100 large scale projects in over 70 countries across the world.
Featured image: Stock