Rising power demand calls for action

Kariba South to avert a catastrophic power crisis next year.
Expanding Hwange would add another 600 megawatts to the national grid while Kariba South would chip in with 300MW tapped during peak demand.
Demand for power in the country is anticipated to increase by 29 percent next year from 6 percent this year.
The boost would be due to projected growth in the mining sector.
The growth follows the US$502 million approved lines of credit in support of investment in equipment into the mining sector in 2011, according to a presentation by Finance Minister Tendai Biti in his 2012 Budget.
“In 2012, mining is anticipated to remain the major driving force behind overall economic growth,” he said, “benefiting from further private capital injections, firm international commodity prices and anticipated initiatives to minimise electricity supply interruptions.”
The mining industry is forecast to grow by 15,9 percent next year from the 25,8 percent projected growth this year, which was revised from 33 percent.
In a report on the state and future power generation in the country, the Zimbabwe Electricity Transmission and Distribution Company says power demand is expected to increase significantly in 2012.
ZETDC is a subsidiary of Zesa Holdings. Zimbabwe already imports about 35 percent of the power it consumes from regional utilities, mainly Hydro Cahorra Bassa of Mozambique, Snel of DR Congo, Zesco of Zambia and occasionally Eskom of South Africa.
At the moment, Zimbabwe generates an average of 1 200MW a day, which is not consistent, against a peak demand of 2 200MW.
ZETDC has indicated the power demand in the mining sector is projected to surge by an average 29 percent in the coming year from about an average of 6,2 percent increase during this year.
But with all the ominous statistics on the impending potential catastrophic consequences of power shortages Zesa, as always, might continue to skirt around the issue than react swiftly to address the problem.
It is no secret Zimbabwe is facing huge financial challenges, but failure to address the power shortage might spell real disaster.
The economy is grappling with many other problems – the high cost of finance, old equipment, low demand, high labour costs and external competition.
But the power crisis could scuttle all the prospects for economic recovery, as electricity already accounts for a huge portion of production costs.
The most worrying fact about the latest revelations is that power utility Zesa Holdings is still in the process of selecting a suitable company to undertake the expansion of Hwange Thermal and Kariba South.
This is despite the fact that at one point Zesa settled on a Chinese company for the project, but has now decided to go to tender.