The six older units at Hwange Thermal Power Station, all commissioned originally in the 1980s, will soon undergo major rebuild after Cabinet yesterday approved the contracting of Jindal (Private) Limited to rehabilitate the six units over the next four years.
The public-private partnership between the Zimbabwe Power Company and Jindal will be carried out under a Rehabilitate, Operate and Transfer model.
The two entities are now finalising agreements before work begins in earnest. The repowering will involve replacing key equipment on Units 1 to 6, including turbines and generators.
Commissioned between 1983 and 1989 with a combined capacity of 920 MW, the six units are now generating only about 300 MW due to age-related mechanical faults.
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Once the refurbishment is complete, Hwange is expected to generate about 1 500MW with the original 920MW added to the 600MW of the new units 7 and 8.
It is one of several measures being implemented by Government to boost domestic power generation.
Speaking after yesterday's Cabinet meeting, Information, Publicity and Broadcasting Services Minister Dr Jenfan Muswere said the refurbishment would significantly improve national electricity supply, thereby reducing load shedding for industry and households.
"Cabinet considered and approved the public-private-partnership project between the Zimbabwe Power Company and Jindal (Private) Limited for the Rehabilitation, Operation and Transfer of Hwange Power Station Units 1 to 6 and auxiliaries," said Dr Muswere.
"Reviving Hwange Power Station's first six units will benefit Zimbabwe by significantly increasing the national electricity supply, thereby reducing load shedding and ensuring reliable power for industries and households.
"Reliable power will enable sustained production, boost industrial output, enhance economic activity and create jobs. Further negotiation refinements are ongoing to ensure that the partnership project serves the national interest."
Responding to questions from journalists, Energy and Power Development Minister, July Moyo, said refurbishment of the six units will increase power generation significantly.
"These units are usually on and off, but we can say our average production of those units, 1 to 6 minus Unit 5 is that they were averaging between 300MW and 600MW, depending on whether all of them are in service at any one time," he said.
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On the funding model, Jindal is set to inject US$450 million, which will be monitored by a joint committee to ensure the funds reach Zimbabwe through normal banking channels, as assured during negotiations.
Minister Moyo said the first four years are allocated for Jindal to finish rehabilitating all six units.
The company provided a chart detailing the sequential plan for this work, as established in the negotiations.
Any necessary refinements to ensure both Jindal and ZPC are satisfied will be addressed accordingly.
Government continues to implement measures to increase power generation.
Synchronisation of Units 7 and 8 in 2023, led to a significant improvement in supply.
Enhanced generation capacity is expected to reduce electricity imports, ease load shedding, and drive higher industrial output.
Increased local generation will also save Zimbabwe millions of US dollars being spent on monthly electricity imports.
The country has been supplementing domestic supply with imports from Zambia, Mozambique and South Africa.
