Zambia’s Finance Minister Felix Mutati has disclosed that among the speakers at the Batoka Regional Investment Conference will be The President of The African Development Bank, Dr. Akinwumi Adesina. In May, 2016, Zambia hosted the 51st ADB Annual Meetings whose Theme was “Climate Change and Energy.”
According to the statement released to the media by Head of Public relations at the Ministry of Finance, Chileshe Kandeta, the conference will also attract Multilateral Development Financial Institutions (DFI’s), Bilateral Cooperating Partners and Local, Regional and Multinational Private Sector Organisations – with a view of marketing the financing requirements of the Batoka Gorge Hydro Electric Power Scheme through the Independent Power Producer Arrangement (IPPA).
Mr. Mutati recently attended the 34th session of the Zambezi River Authority Council of Ministers Meeting in Victoria Falls Town, Zimbabwe, where the Council considered a report by the Batoka Gorge Hydro Electric Power Scheme transaction advisors, Ernst and Young, and mapped out a strategy on project development. The council comprises Ministers responsible Finance and Energy from Zambia and Zimbabwe.
“During the construction phase, 6,000 jobs will be created and a further 1,200 permanent green jobs during the operational phase, split equally between both countries,” Mr. Mutati has said.
The Zambian Minister of Finance has said, upon completion, “the project will significantly increase base load power exports to the regional Southern African Power Pool (SAPP) energy generation mix,” adding that, “it will also help address the power crisis by reducing load shedding and spurring additional investment in industrial development in the region.”
Mr. Mutati affirmed that “the model being adopted will ensure that Batoka produces the cheapest power in Africa and so we are excited to get it going especially that the sovereign budgets of the two partner countries will not be affected since the project will be financed by the international market.”
Meanwhile Zambia’s Energy Minister David Mabumba has said the Batoka Gorge Hydro Electric Power Scheme is key to regional integration and an important component of the diversification and industrialisation drive which the Zambian Government has embarked upon.
“To ensure that we increase our power pool for future uses and export, there is need for the Zambezi River Authority to think outside the box and explore solar and geo-thermo options for power generation,” commented Mr. Mabumba.
And Zimbabwean Minister of Finance and Economic Development Patrick Chinamasa has expressed festive gratitude at the relations between Zambia and Zimbabwe, adding that, “feasibility studies for the project are now over so it is now time to step-up resource mobilisation for the Batoka Gorge Hydro Electric Power Scheme.”
“In the case of Kariba, we have found the money and rehabilitation of both the dam and the spillway will soon commence,” assured Mr. Chinamasa.
The Batoka Gorge Hydro Electric Power Scheme construction phase is expected to commence in 2017/2018 under an arrangement between Zambezi River Authority [co-owned by Zambia and Zimbabwe] and international financiers. The Batoka Gorge Hydro Electric Power Scheme is expected to increase power generation capacity for Zambia and Zimbabwe by a sum of 2,400 Mega Watts.
The site of the Batoka Gorge Hydro Power Scheme is located across the Zambezi River on the international boundary between the sovereign states of Zambia and Zimbabwe, 54 Kilometers downstream of the Victoria Falls. The existing Kariba Dam Hydro Electric Power Station is located upstream on the second largest man-made lake in the world, Kariba, and produces 1, 470 Mega Watts.
To ensure smooth PREPARATORY WORKS, the World Bank administered multi-donor trust fund for Co-operation International Waters in Africa in 2016 allocated finances to the project through a grant of US$6 Million. The development of the project is in three phases. Part one involves updating engineering feasibility studies, carrying out of environmental impact assessment studies, and addressing institutional legal aspects of the project. Phase two comprises resource mobilisation and tendering while phase three will involve financing support works related to construction and commissioning.
The proposed scheme includes a 181- meter high dam, radial gated crest type spillway, and two underground power stations located in each country with installed capacity of 1, 200 Mega Watts EACH [Zambian side and Zimbabwean side].
But Edgar said no more these kind investments when South Africa has surplus. Maybe this is MMD presidents side idea.
This is all prattle by PF bandits of visionless Dagama. Don’t expect anything tangible from PF, yapping as always & it will remain as hoisting, nothing more.
How much is mealie meal & load shedding going at the moment truthful people? The visionless PF bandits can only remove K1 from K13/l fuel whilst the caterpillars are enjoying the destruction of maize. The army had to be instructed by blind Lungu of PF bandits to shoot caterpillars whilst they wait for Dora Siliti to bring the Iron ‘Tike Myson’ the legendary boxer to come & deal with the army worms. PF in 2017 for you with more dununa regrets to come.
The Skeleton Key
~206~
Zambians easily forget! A few weeks ago visionless Lungu said that there was no need for Zambia to invest in energy b’coz Zuma has alot of energy & visionless PF bandits will import the electricity from South Africa.
So, thing investment yapped by the incompetent PF will remain in “hoisting” only! Everything PF says, the opposite is true.
The Skeleton Key
~206~
My main concern is that the whole USDollars 6 billion, might be paid back by Zambians. I just can’t place my finger as to what charms Zimbabwe and Malawi have inflicted on Zambia. We give them free fuel, free maize and free voting rights and yet we don’t get anything from them in return! What spell have these two countries inflicted on us that we cannot see?
@Nostradamus & Skeleton, damn, you two really have an enviable testicular fortitude for yapping NONSENSE! Never get tired—wow, wow, wow!!!!!
@skeleton visionless Vodga Jameson Rungu was in south for a tour not for serious business…
This is sad. Firstly we should have by now learnt not to do business with selfish Zimbabwe a country that was the first to take us to the international court over CAPCO. Secondly we should have sorted out the power deficit of 300MW by investing in smaller hydros and solar farms up North, for two reasons. Firstly the gestation period of these small sites has a maximum of 18 months and the deficit will have been met and
stop the load shedding. Secondly the northern part in NWest, Luapula, Northern, muchinga do not have severe climate change effects unlike the River basin over
@gk the Presido said both countries will enjoy an ongoing relationship. After all Mugabe and Sata were close, now ECL is aligning himself to learn from the dictator. I agree with you on sorting the power deficit.
However not so long ago, ECL was talking about importing power from SA instead of investing. Are the ministry & President clearly not aligned? Their statements contradict each other. Then again this boma has never been coherent all the way through.
@gk, I think what you are talking about is already being done or at least in the pipeline. But if you want to put up a massive hydro power project, the kind being contemplated here, there is no way in h#ll you can run away from the Zambezi river basin. It is the largest river we have in Zambia, and among the mighty rivers of the world. So once this is done, you can at least forget about electricity deficits in Zambia for a long while to come. That’s how Countries with FORESIGHT do things. You have to look beyond your immediate needs and imagine your Country’s development say Half a Century into the future.
continue…
Yes, to mitigate our current electricity problems, smaller, cheaper and quick solutions must be found. But if we THINK & BUILD BIG now, future generations will thank us a million times over for doing it. That’s how Countries like the USA approached their Capital Infrastructure projects back in the 1920s, 30s, 40s, 50s, and 60s. Now, you rarely hear about Load shading problems in the U.S. today.
Trust me, once upon a time, it was the same even in Countries you consider the FIRST WORLD today—but they THOUGHT BIG and acted—now it is Africa’s time to start thinking big and act!
Yaba Kwena Ba Yambayamba despite laughing at your Friends…..so when we have a drought the same story as our current deficit issues will come up … there isn’t enough water in the Batoka and more loadshedding ….Dont forget that Kariba is on the same Zambezi you are talking about. You see we need an energy Mix that will compliment each other. Right now we need more investment in the alternatives and that should be priority ….your so called developed countries Highly depend on Coal and Nuclear, including the very South Africa your Man Chapona is talking of importing from. Boss I think you are not with us in Zambia.
@gk – I am with you on the Zimbos. They have no creditworthiness at all and Zambia risks having to pay the loan alone. Secondly, Zimbos are selfish and at a drop of a hat will be abusing Zambians. These are the same people who used to ban Zambians from buying notes than 3 leaves of bread from Zimbabwe when their economy was doing well. Now they are polluting out car parks selling car polishes. Zambia should be developing power stations that are fully within Zambia that we alone can control. Zimbabwe made a mess up at Kazungula and the new bridge to Botswana had to encroach on Namibian space to avoid the grubby-fingered Zimbos.
… buying more than three loaves of bread….
In terms of diversifying power sources, developing power stations in NWP, NP and Luapula where there’s water and topography is a good idea. Also we should have more coal power stations, like the new Maamba one. BTW the carbon footprint of Africa in general, and Zambia in particular, is so faint that we should not throttle our development with these climate change concerns. So coal is a legitimate power source as is solar and possibly geothermal.
This will just be a Talking Shop. With both countries broke and failed states no intelligent investor will come to invest in such dysfunctional economies under dictatorships. Zimbabwe recently introduced a worthless currency called the Bond Note which is not backed by any assets and securities. Who will come to invest USD capital and get a Bond Note rate of return to capital. This country has found a way to print USDs via the worthless Bond Note Currency which they have pegged and decreed at Par with the USD. Can one invest in such backward thinking country? Its a waste of time and just Talks about Talks.Nothing will come out of the MMD Sponsored Investment Conference.
I hear you. But correction is in order: the Zimbo bond notes are backed by a $200m loan from Afreximbank that’s headquartered in Egypt.
Finance Minister says one thing his dull lazy boss mutters something the next day when he is drunk.
What about the kalungwishi power station in Northern province. Who will finance Zimbabwe when the even failed to raise money for repairs on damaged Kariba dam! Dimwits!
Let Mutati allow Zambians buy bonds. Money milking entities like Napsa, ZISC, Workers Compensation, Pension schemes, Mines, should be ‘forced’ to invest. We dont need foreign money. This is how the $6bn Renaissance dam in Ethiopia was fully locally financed. Why do we have to do everything with broke Zimbabwe?
Zambia cannot build Batoka Gorge Dam alone because it is on the Zambezi River which is the border between the two countries. Your point is well taken though and should be applied to 100% Zambian owned sites like Kafue Lower, Kabompo, Kalungwishi etc etc. Instead of raising more foreign loans, let’s use the Kwacha assets that never go to Zambians in retirement.
So what was Zambian Energy Minister Mabumba talking about out of tune with the topic at hand? All the other Ministers have said something relevant to the project and the topic.