30 November 2012 – SinoHydro has been awarded with the tender for the Kariba South expansion project in Zimbabwe. The project is expected to add 300MW to the national electricity grid. Zimbabwe Power Company(ZPC) says, “The tender for the project was awarded to SinoHydro by the State Procurement Board (SPB), and they have tendered their bid for US$368 million. We are now in the phase of contract negotiations and we hope these will be completed by the end of this year, with the intention of resuming the project in early 2013.”
The Kariba South power station expansion project is expected to take about four years to complete. Initially, the SPB had cancelled the tender saying that the firm had failed to meet tender requirements, but SinoHydro protested the decision as it had signed a MoU with Treasury.
Meanwhile, the State Procurement Board has narrowed down the bidders competing for the Hwange expansion project to two. These are SinoHydro and China National Machinery Corporation, and will soon be entering the final round for the bidding process. SinoHydro has tendered its bid price to US$1.17 billion, while its competitor has placed its bid at US$1.38 billion. ZPC managing director, Noah Gwariro confirmed that the winning bidder will be announcing in January 2013, and it will move on to negotiate the contract within the first quarter of next year.
The Hwange power station expansion will add 600MW onto the grid, which will alleviate the desperate cries of the Zimbabwean community that has suffered the scourge of consistent power cuts culminating from the minimal electricity currently being produced.