Business Reporter
THE Mutapa Investment Fund (MIF) has struck a major power generation deal which will see Hwange Thermal Power Station’s partnering with Jindal Africa in a development which is set to resolve the country’s electricity deficit.
The US$350 million joint venture between Indian firm Jindal Africa Investments and Zesa is expected to add approximately 400 megawatts (MW) of electricity to Zimbabwe’s national grid.
The MIF’s chief executive officer (CEO), John Mangudya, told a local private weekly that the deal will be done through a rehabilitate, operate, and transfer (ROT) framework.
“Regarding developments at Hwange Thermal Power Station, the Mutapa Investment Fund board has approved the partnership between Zesa and Jindal Africa Investments for the refurbishment of Hwange units 1 to 6 on a rehabilitate operate and transfer basis,” he said.
“This investment, which constitutes a public-private partnership arrangement, will enhance the supply of electricity into the grid by around 400MW to 840MW from the rehabilitation of these six units. This initiative will add electricity into the grid by around 400MW. The estimated cost of this project is around US$350 million.”
He said the restoration project will be funded by the investor.
The latest project is in line with the MIF’s broad strategy to expedite pro-poor and development inclined national projects which benefit the people of Zimbabwe.
