Online Reporter
Remember Deketeke
THE Africa Finance Corporation (AFC) has completed a due diligence exercise of the proposed US$3 billion Harare Light Rail Project, moving the mass-transit system closer to implementation, it has been learnt.
The Harare City Council is now working towards clearing the remaining regulatory hurdles ahead of a detailed feasibility study expected to commence soon.
AFC, a Pan-African multilateral financial institution that provides funding to bridge the continent’s critical infrastructure deficit, recently completed a comprehensive assessment of the project covering its institutional, technical and commercial viability.
The development marked an important step towards consummation of the long-awaited project, which is designed to create a modern rail network in the capital.
On completion, the light rail will link Harare’s central business district (CBD) with major residential areas, Chitungwiza, the Robert Gabriel Mugabe International Airport and the new city under development in Mt Hampden.
Harare Acting Town Clerk Advocate Warren Chiwawa told The Sunday Mail that the city was now finalising all requisite legal, regulatory and approval frameworks before formally launching the feasibility study.
“The Africa Finance Corporation (AFC) recently completed a comprehensive due diligence appraisal mission in Harare to evaluate the project’s institutional, technical and commercial bankability,” said Adv Chiwawa.
He said the AFC sought to ascertain whether the project could demonstrate sufficient technical viability, financial sustainability and commercial prospects to attract the large-scale financing required for implementation.
The project, which has been approved by the Zimbabwe Investment and Development Agency (ZIDA) and granted National Project Status, represents the largest proposed urban public transport investment in the history of the country, which is expected to transform mobility in Greater Harare ahead of the 2029 Intra-African Trade Fair (IATF).
Harare will host Africa’s premier trade and investment fair under the African Continental Free Trade Area (AfCFTA) in three years.
Granting of the National Project Status designates the project as being of strategic national importance and facilitates coordinated Government support, investment facilitation and streamlined regulatory processes.
The city, Adv Chiwawa said, had also made progress in mobilising funding for the preparatory work that must be completed before construction.
“A project of this magnitude requires substantial upfront capital expenditure specifically directed towards conducting exhaustive feasibility studies,” he said.
“Substantial progress has been registered in securing the requisite investment commitments to fund this critical preparatory phase.”
The feasibility study would investigate whether a proposed project can be built and operated successfully. Adv Chiwawa said this will include technical and engineering assessments, demand and passenger studies, environmental and social assessments, cost estimates, financing arrangements and other work required to establish a bankable project.
Preliminary estimates have put the cost of undertaking the project at about US$3 billion.
It is set to be undertaken in five distinct phases, with the first phase planned to link the CBD and Kuwadzana.
Phase Two will extend the network to Highfield and Chitungwiza.
Phase Three will connect the city centre with Mabvuku-Tafara, while Phase Four will run from Cranborne to the Robert Gabriel Mugabe International Airport.
The fifth and final phase will link Kuwadzana with the New City in Mt Hampden.
Light rail uses dedicated corridors, allowing trains to move independently of road traffic and carry substantially more passengers than conventional buses.
The proposed system is also expected to incorporate battery-powered trains and renewable-energy solutions.
“The city is actively working to align the underlying agreement framework with relevant council resolutions,” said Adv Chiwawa.
“What currently remains is concluding the internal and inter-agency review processes, regularising framework documents and synchronising approvals across all regulatory authorities to officially kick-start the bankable feasibility study.”
He said the inter-agency process involves key institutions such as ZIDA; the Ministry of Local Government and Public Works; the Ministry of Finance, Economic Development and Investment Promotion; and the Mutapa Investment Fund.
