Online Reporter
Judith Phiri, Zimpapers Writer
LEADING cement manufacturer PPC Zimbabwe Private Limited has hailed the rehabilitation of Gungwe Dam in Gwanda District — undertaken at a cost of about US$335 000 — as one of the flagship success stories under its Special Community Trust programme.
In Zimbabwe, a Special Community Trust refers to Community Share Ownership Trusts (CSOTs) established under the Indigenisation Act, to empower local communities through shareholding stakes in natural resource projects such as mining.
The primary role of these trusts is to facilitate community development and economic empowerment, either through direct benefits from local natural resources or donor-funded projects.
Government has initiated a major shift from the earlier CSOTs to Community Economic Empowerment Trusts (CEETs), in a bid to drive rural industrialisation in line with the National Development Strategy 2 (NDS2) and Vision 2030 aspirations.
Speaking at the recent CEETs Policy Dissemination Workshop in Bulawayo, PPC Zimbabwe Head of Legal and Compliance, Mr Tawanda Chiurayi, said the National Indigenisation and Economic Empowerment Fund (NIEEF) holds a 12 percent shareholding in PPC Zimbabwe and is entitled to dividends.
“PPC Zimbabwe entered into an empowerment agreement with PPC Zimbabwe Special Community Trust (PPCZSCT) in 2023. PPCZSCT acts as a conduit for funding CSOTs — entitled to two percent of every declared dividend. The empowerment agreement is designed to ensure governance, transparency and oversight over the proper use of funds for community development,” he said.
Mr Chiurayi revealed that disbursements to date amount to US$2,3 million (including US$815 000 to be paid in December 2025) to NIEEF and US$3,3 million (including US$160 000 to be paid in December 2025) to Community Trusts via PPCZSCT.
“For PPCZSCT, disbursements are split 50/50 between two trusts — Umguza and Gwanda — entitled to US$1,7 million each,” he said.
On achievements to date, he said Umguza CSOT purchased a borehole drill rig and has been drilling boreholes, while Gwanda CSOT facilitated the construction of fully furnished classrooms (including Ntepe High School Science Laboratory) and launched community poultry projects.
“There was also provision of education assistance (scholarships) for disadvantaged children, borehole drilling, construction of Silikwe Rural Health Centre, and rehabilitation of Gungwe Dam — all by Gwanda CSOT. Gungwe Dam rehabilitation is one of PPCZSCT’s success stories. The dam was damaged by heavy rains in January 2017, causing a breach. PPCZSCT contributed US$335,667,07 to the project,” he added.
Key benefits expected from the dam include water provision to over 3 000 households, improved small-scale irrigation, water for livestock and wildlife, poverty alleviation, food security through market gardening and fish farming, small-scale hydropower generation, job creation and income generation.
On CSOT challenges and lessons learnt, Mr Chiurayi said:
“Challenges include incorrectly constituted boards, resulting in lack of expertise and excessive funds being used for administration instead of projects. There is also a lack of accountability, as funds must reach intended beneficiaries through impactful community projects.”
He stressed the need for self-sustaining projects to ensure continuity in the absence of funding from parent companies, as well as strong legal frameworks and local participation to achieve empowerment goals.
“Annual comprehensive audits and public disclosure of financial reports are essential for transparency and accountability. Another lesson is capacity building through board training so trustees understand their roles,” said Mr Chiurayi.
Meanwhile, Industry and Commerce Minister Nqobizitha Mangaliso Ndlovu emphasised that Government is not abandoning the Share Ownership model with the introduction of CEETs, noting the success of some community trusts.
“We have seen success stories from Mhondoro-Ngezi-Chegutu-Zvimba and Gwanda Community Trusts. These are benchmarks for what communities can achieve when fully supported. Gwanda CSOT is another positive example. It owns 10 percent shareholding in Blanket Mine, which has yielded at least US$12 million in dividends, with US$5 million received in 2025 alone,” he said.
The minister said funds have been used for social and enterprise development projects, including clinics, dams, school infrastructure, property development, irrigation rehabilitation and poultry out-grower schemes.
The enhanced Economic Empowerment Thrust approved in September 2025 will see CEETs broaden their scope beyond social development to local enterprise development, transforming rural communities into industrial hubs.
