Tuesday, June 25, 2024

Ministry of Energy and XESCO defy HH instruction on Kalungwishi Hydro Power Project

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Daily Nation reports that over the development of the Kalungwishi Hydro Power Project which they want to seize from Zambian developers, the Ministry of Energy and Zesco have defied President Hakainde Hichilema’s guidance that the state-owned power utility company and Luapula Hydro Power Corporation Limited should consider the possibility of entering into an equitable partnership for the development of Kalungwishi Hydro Power Project in the national interest, sources have told the Daily Nation.

Instead, the Ministry of Energy and Zesco have demanded a complete takeover of the Luapula Hydro Power Corporation Limited, sources from both the Ministry of Energy and Zesco have confirmed.

President Hichilema’s desire and efforts to have the Zambian-owned Kalungwishi Hydro Power project fully developed are allegedly being frustrated and undermined by Zesco managing director Victor Mapani and Peter Kapala, the Minister of Energy.

“It seems our boss’s earlier request to buy shares in Luapula Hydro and its subsequent rejection is what is still angering him such that he’s doing everything possible to block a local company that has been pushing this development for years. This Kalungwishi Hydro project started many years ago. I was already here and I know how political this has been,” the Zesco source revealed.

The development of the Kalungwishi Hydro Power Project has in the last two years been shrouded in a matrix of ownership struggle and the Daily Nation has been informed that Mr Mapani had offered a complete buyoff of the Luapula Hydro Power Corporation Limited.

Zesco sources have revealed that instructions were recently given at the highest level that an amicable solution be found to the satisfaction of all stakeholders for the development of Kalungwishi Hydro Power Project.

However, according to the sources; “those instructions seem to be falling on deaf ears because we can see here at our offices that some actions are being done in order to fulfill some people’s selfish personal interests. They are pulling in a different direction from where our President wants to lead Zambia.”

The country is experiencing an acute power deficit which has it undergo excruciating long hours of load shedding and President Hichilema had to travel to Abu Dhabi in search of solutions to the power crisis whilst his technocrats are busy frustrating his efforts on the ground.

According to the sources, this is despite Luapula Hydro Power Corporation acquiring 100 percent funding for the project and partnering with one of the largest Hydro Power Developers in the world.

President Hichilema’s desire is that Government, through Zesco, should partner with Luapula Hydro Power Corporation but the Ministry of Energy and the power utility are demanding a complete takeover of the Independent Power Producer, the sources revealed.

11 COMMENTS

  1. Give us reports with more substance please. If true, what reasons are ZESCO and Ministry of Energy giving for preferring 100% takeover? We don’t want to rely on your unsubstantiated opinion that the impasse (if there is one) is due to some ZESCO boss not having been given shares. If the project started many years ago before said boss was at ZESCO, what was causing it to be political at that time? Give us the version of those you are accusing. What stage of development is this project? If they have already acquired 100% funding from Hydro Power Developers, why is there talk of partnership at all? When was this funding acquired and why is this project not completed?

  2. I can’t believe this story. There’s no one in Zambia who can defy the President, even that President is a jemasoni guzzler. There’s more to this than has been revealed. Isn’t this the project that was initiated by Chitimukulu? Isn’t Mwata Kazembe not one of the owners? Please dig deeper and give us more information so that we make fair comments. Nipano tuli

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    • Ayatolla you expect a media as crazy as Zambia’s to investigate anything for you? They are just for fun. They arent serious None of us serious citizens rely on our media. Media who now tell us there is a new energy companyin Zambia called XESCO?

  3. The current national experience of load-shedding cannot be attributed to shortage power generation outputs. The PF Govt worked hard to re-habilitate and increase the power-generation capacities on power stations at Lusiwasi, Musonda Falls, Chishimba Fall, Iteshi Teshi and Kariba North Bank. The construction of the Lower Kafue power station resulted in Zambia achieving generation of excess power destined for export. But the current business-minded Govt opted to export more power thus creating a national deficit – due to wrong mathematical computation as to what Zambia can afford to export.

  4. If the Govt feels that power generation can add economic value to support mining, agriculture and tourism, then we must develop two power stations on Kalungwishi River, build one on Luapula River with Congo DR and work with Zimbabwe to build the Batoka Gorge hydro-power Station. Besides, the construction of a power station on the Kabompo River is in progress. Yes, the United Arab Emarates have the money to offer Zambia, but lack industrial skills in areas electrical and civil engineering which are well entrenched in some European counties and China. We wonder as to who advises the President on dynamics of national and global economies. Food for thought for future national leaders.

  5. Alot of push and pull is happening behind the scenes…i knew HH was a kelenka when he became President and lied to the Zambian people that he had been invited to USA by the US President but in the actual sense he was coming here for the UN General assembly….and also when he lied about his trip to RSA on taxpayers money for a book launch and he had an impromptu photo op with Ramaphosa just to cover up his antics….looks like anyone who is trying to oppose HH’s auctioning of our assets will soon be replaced….Only the likes of conman Jinto Kayumba and Thabo Kawana, Kakubo etc will remain

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    • It’s a government of conmen and pretenders. Jito has a questionable CV, what can he advise on economics? It seems they want to grab the project because they don’t like its promoters. The same fate my befall some insurance company. They’re evil

  6. If Zambia is keen to search for reliable partners in development of power generation infrastructures, such partners exist within the SADC Region. For instance, (a) South Africa was instrumental in the construction of the Katse Dam in Lesotho which supplies power to that Kingdom and exports water to South Africa. (b) South Africa contributed to the building the Cabora Bassa Dam in Mozambique which supplies power to ESKOM, South Africans can partner with Zambia ln constructing two power stations along the Kalungwishi River to share the outputs between ZESCO and ESKOM. Fine diplomacy can bear sustainable development in our region.

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