by Christopher Makaza
The US$1,2 billion expansion of the biggest coal-fired power facility in Zimbabwe, Hwange Thermal Power Station’s Units 7 and 8, which will see 600 megawatts (MW) added to the national grid is progressing well, with the commissioning of the first unit (Unit 7) expected mid-2021.
Chinese state-owned Power Construction Corporation of China (POWERCHINA) which was awarded the engineering, procurement, and construction (EPC) contract on its Twitter handle PowerChinaZimb1 posted images of the unit 7 nearing completion revealing that ceiling girder for unit 7 boiler started on 18 August 2020.
Steel structure erection for the unit 7 boiler has already been completed and all the units are expected to be in full commercial operation by end of January 2022.
The project, being carried out by Chinese firm Sino-hydro entails the addition of the two power generating units to the existing six units that were commissioned between 1983 and 1987.
The Hwange Power Station Expansion Project is part of Zimbabwe’s efforts to find sustainable solutions to power shortages that are impeding industrial growth and curtailing economic growth.
The US$1.2bn expansion project is being undertaken by a special-purpose vehicle (SPV) comprising Zimbabwe Power Company (ZPC), a subsidiary of Zimbabwe Electricity Supply Authority (ZESA), and Chinese state-owned hydropower engineering and construction company Sinohydro.
Located at Hwange in the Matabeleland North Province of western Zimbabwe, the Hwange power station has been operational since 1983. The plant’s installed capacity was increased to 920MW in 1987.
The ground-breaking ceremony for the Hwange power station expansion was held in June 2018, while the main construction works were started in March 2019.
The Hwange power station, which already has six coal-fired generating units, is being expanded with two additional coal-fired units of 300MW capacity each.
The main equipment for the seventh and eighth units of the plant are being provided by China’s state-owned electricity equipment manufacturer Dongfang Electric Corporation.
Regarding financing of the project, China EXIM Bank agreed to provide a loan of US$1.2bn for the Hwange power station expansion in December 2015.
The Government of India also promised to provide a line of credit (LoC) of US$310m in November 2017, to enhance the lifecycle of the Hwange thermal power plant.
Standard Bank South Africa and Afreximbank are supporting the expansion project by providing US$40m and US$76m, respectively.
