admin
George Maponga in Masvingo
Masvingo City Council has applied to Government for borrowing powers to secure a US$60 million loan facility for its water augmentation project.
The city has been hit by water challenges over the last decade, and believes accessing the funds would help it address the problem once and for all.
Council plans to get the funds from China Import and Export Bank (China Eximbank), which is currently funding a number of infrastructure projects in the country in line with Vision 2030 and the Transitional Stabilisation Programme (TSP).
The water augmentation project entails duplication of the water pumping, purification, conveyancing and storage infrastructure, which will double water supply in the ancient city to 60 megalitres daily from the current 30 megalitres.
Masvingo is grappling with water woes, resulting in occasional rationing of the commodity to meet rising demand.
Town Clerk Mr Adolph Gusha said the application for borrowing powers followed tremendous progress in work on the feasibility study for the project.
The feasibility study is being undertaken by a South African consultant.
Council received a major boost recently after the Reserve Bank of Zimbabwe paid the consultant R420 000 to pave way for the completion of the feasibility report.
“We are running a parallel process now where we have applied for borrowing powers to Government which is the guarantor while also working on presenting the financial report to both the guarantor and the financier (China Eximbank),” he said.
“The financial report will be ready in the near future as the consultant is working on one or two issues and basically that report will be simply to prove to the guarantor and the financier that we can service the loan. In actual fact, we can service the loan that we want.’’
Mr Gusha said the full feasibility report on the water project would be out soon, marking a key milestone in council’s spirited thrust to end nagging water challenges.
Masvingo Mayor Councillor Collins Maboke recently revealed that the city was going to convene an all-stakeholders’ meeting where the water augmentation consultants will present the project’s feasibility study report before critical players.
Masvingo city draws its water from Zimbabwe’s second largest inland dam, Lake Mutirikwi, which is its sole supplier.
The water augmentation project would sharply improve water supply which was failing to cope with demand after the city’s housing density spiked with the construction of more than 10 000 new housing units in Victoria Ranch suburb.
An improvement in the city’s water supply will also spark growth of investments.
Masvingo aspires to become a world-class city in the next few years.
The city has undergone a major metamorphosis over the past decade, with city officials working with Government to stem the runaway housing backlog and upgrading and building new roads.
Increased rural to urban migration has seen the city’s population spiking to over 100 000.
Online Reporter