Zesa seals new deal

Congo for the supply of up to 100 megawatts of electricity.
The deal is effective from tomorrow. Snel will consistently supply 50MW and another 50MW as and when it has excess power.
Zesa spokesperson Mr Fullard Gwasira yesterday confirmed the deal. He said the new supplies would supplement imports from Hydro-Cahora Bassa of Mozam-bique.
Mr Gwasira said Zimbabwe had not been getting power from the DRC for the past three years, which significantly reduced the amount of imports.
“We will be getting 100MW from Snel; 50MW will be firm and we will get it all the time while 50MW is not firm but we will get it when there is excess. This is over and above what we get from HCB,” he said.
Zimbabwe had an agreement with Zambia for the supply of power last year, but is presently not importing from that country after the contract expired.
Zimbabwe is facing serious power deficits due to deteriorating infrastructure.
As a result, Hwange Thermal Station, which has installed capacity for 920MW, is presently producing 443MW while the small thermals, with a capacity to produce about 300MW, are only producing a total of 65MW.
Zimbabwe has not invested in new power infrastructure in the last three decades and imports from the region have had to carry the deficit all along.
At the moment, the country is generating about 1 400MW against the national demand of 2100MW. It is this deficit that has to be filled with imports.
Zesa, which has been struggling to pay for power imports, is owed more than US$400 million by customers.
The parastatal has now accumulated a debt of about US$100 million with regional utilities, consisting of power supply agreements.
Energy Minister Elton Mangoma said Zimbabwe had resorted to power imports as the 1300MW being generated at present was not enough to meet demand.
“These countries are willing to export more power if we pay for the current imports and something towards the accumulated debt of nearly US$100 million,” he said.
Zesa is also exporting 150MW to Namibia to clear a debt arising from the funds extended to the power utility to refurbish Hwange Thermal Power Station.
“The country is exporting 150MW to Namibia. The tariff on this export is below cost and Zesa has been negotiating to increase this tariff to cover the cost of producing the power at Hwange Power Station,” he said.
Power availability has recently improved after Zesa resuscitated the three thermal plants at Harare, Munyati and Bulawayo.
Government has approved a number of new projects and identified investors to increase capacity at Hwange and Kariba.
But the first project is expected to start feeding into the national grid by 2014, at the earliest.