POWER BOOST . . . US$450m kitty for thermal station upgrade

Trust Freddy Herald Correspondent HWANGE Thermal Power Station is poised for a US$450 million upgrade, with physical refurbishment of the original 1980s Units 1 to 6 expected to start in the first quarter of next year. Zesa Holdings’ acting group chief executive officer, Engineer Cletus Nyachowe, said the repowering sought to stabilise the national grid […]

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Trust Freddy

Herald Correspondent

HWANGE Thermal Power Station is poised for a US$450 million upgrade, with physical refurbishment of the original 1980s Units 1 to 6 expected to start in the first quarter of next year.

Zesa Holdings’ acting group chief executive officer, Engineer Cletus Nyachowe, said the repowering sought to stabilise the national grid and ensure that this original development returned to providing 920MW and filling growing gaps in the generating capacity to maintain Zimbabwe’s high rate of growth.

Refurbishment is the fastest and cheapest way to meet around 500MW of extra demand as well as making sure that growing faults will not spread.

The upgrade follows the recent approval by Cabinet of a 15-year concession agreement with Jindal Steel and Power.

This partnership will operate under a rehabilitate, operate and transfer model, focusing on restoring the operational integrity of the plant’s oldest units, which have faced frequent breakdowns due to outdated infrastructure and around 40 years of extended use without major replacement of  severely worn equipment.

In his year-end message to stakeholders and employees, Eng Nyachowe described the agreement as a significant milestone for 2025.

“A major highlight this year has been the partnership with Jindal Steel and Power. The signing of the US$450 million concession agreement this December after a year-long negotiation marks a pivotal moment for the ZESA Group in general and the Zimbabwe Power Company in particular,” he said.

The 15-year agreement with Jindal aims to enhance power generation capabilities, dedicating the first four years specifically to rehabilitating Hwange Units 1 to 6.

This refurbishment is expected to add 400 MW to the national output within the next 48 months.

The repowering will include replacing critical equipment in Units 1 to 6, mainly the boilers, turbines and generators.

Originally commissioned between 1983 and 1989, these six units have a combined capacity of 920 MW, but have recently generated only 300 MW to 500 MW due to age-related mechanical failures. Once the refurbishment is complete, these units are expected to operate at their full capacity, contributing to a projected total output of approximately 1500 MW from the entire Hwange Power Station, which includes the two recently commissioned new units 7 and 8 each of 300MW.

Jindal is set to inject US$450 million into this project, with a joint committee established to ensure effective monitoring of the funds, guaranteeing they reach Zimbabwe through standard banking channels, as assured during negotiations.

Eng Nyachowe also praised the progress made by ZESA Enterprises in transformer manufacturing.

He expressed confidence in the future, stating, “ZENT has intensified its pole and transformer manufacturing efforts and secured critical memoranda of understanding which will facilitate significant recapitalisation.”

In addition, Powertel Communications has continued to expand its fibre backbone and is actively increasing its market share, which bodes well for ZESA’s future prospects.

Looking forward, ZESA Holdings aims to integrate a higher proportion of renewable energy into its energy portfolio.

Eng Nyachowe said Zesa was committed to the growth of the country’s generation capacity.

“As we move forward, our primary focus is on growth, particularly in expanding our generation capacity and base load.

“We aim to incorporate more renewable energy into our energy mix while reinforcing and expanding our transmission and distribution grid.

“By implementing aggressive connection strategies, we plan to significantly expand our customer base,” he said.

With the impending upgrade of Hwange Thermal Power Station, Zimbabwe is positioning itself for a more stable and reliable energy future, ensuring that its power needs are met sustainably and efficiently.

President Mnangagwa has created a conducive environment for investment in all sectors of the economy. He has been particularly interested in the energy sector, which is seen as a key driver in the Second Republic’s quest to attain an upper middle income society by 2030.

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