ZESA Holdings (ZESA) owes US$350 million for renovations at the Kariba South Power Station, which it has been unable to service due to the long-standing subsidised tariff regime, reported <a href="https://www.newsday.co.zw/business/article/200038201/zesa-owes-us350m-for-kariba-south-renovations">NewsDay</a>.
Currently, Kariba South has a capacity of 1,050 megawatts (MW) but is only generating 185 MW due to depleted water levels at Lake Kariba.
This was revealed by the Parliamentary Portfolio Committee on Energy and Power Development in an update on the current state of electricity supply in Zimbabwe. It said:
<blockquote>
According to ZESA Holdings, they possess a huge loan burden in renovating some of the units at Kariba, South which amounts to US$350 million.
ZESA created a huge debt burden on the utility, including foreign currency commitments for loan repayments and spare parts purchases.
Management added that repayments need to be done in foreign currency, and they have resorted to exporting power in order to generate foreign currency.
</blockquote>
The committee urged the Treasury to disburse funds promptly for servicing loans related to power projects, to address Zimbabwe’s long-standing debt servicing challenges, improve the country’s creditworthiness, and facilitate access to affordable energy financing.
ZESA’s foreign currency obligations are preventing the power utility from servicing even the Hwange Thermal Power Station.
The committee highlighted that Zimbabwe continues to experience severe power outages as the distribution supply fails to meet the nation’s growing demand.
The committee also revealed that Zimbabwe Power Company, a subsidiary of ZESA, has been forced to import power from neighbouring countries to alleviate load-shedding.

Pindula News

ZESA owes $350 million for fixing Kariba South Power Station. The station can generate 1,050 MW but only 185 MW due to low water levels. The debt is causing problems for ZESA and they need foreign currency to pay it back. Zimbabwe has power outages because of this. The government needs to help ZESA pay back the debt to improve the power supply and get more affordable energy. Zimbabwe Power Company, a ZESA subsidiary, has to buy power from other countries to make up for the shortage.

ZESA Owes US$350 Million For Kariba Power Station Renovations

The Zimbabwe Power Company (ZPC) initially reported on Thursday, January 2, 2025, that the Kariba South Power Station was generating 599MW.
However, about three hours later, the power utility revised the figure, stating that the station’s generation was actually 185MW.
ZPC, a subsidiary of ZESA Holdings, had earlier on Tuesday provided an energy generation update, claiming Kariba was producing 599MW, Hwange Thermal Power Station was generating 700MW, and Independent Power Producers (IPPs) were contributing 54MW, for a total of 1,353MW.
After the revision, the output from Hwange and IPPs remained the same, but Kariba’s generation was significantly lowered to 185MW. The utility did not provide an explanation for the sudden change in Kariba’s output.
The initial claim of 599MW from Kariba raised questions, particularly after a report from the Zambezi River Authority (ZRA) on Monday, December 30, 2024.
ZRA, responsible for managing the water levels in the Kariba Dam, warned that the lake’s water levels had continued to drop, despite minor fluctuations due to rainfall.
On that day, the Usable Live Storage (for power generation) was only 2%, down from 11.83% on the same date in 2023.
Given the current water scarcity, it seems unlikely that Kariba could be generating 599MW, especially after months of low output due to insufficient water for power generation.
<img alt="Image" decoding="async" src="https://pbs.twimg.com/media/GgRQSooX0AAphD_?format=png&amp;name=large"/><img alt="Image" decoding="async" src="https://pbs.twimg.com/media/GgR8Y4OW4AAna2P?format=png&amp;name=large"/>
More: <a href="https://www.pindula.co.zw/">Pindula News</a>

Zimbabwe Power Company (ZPC) said Kariba Dam generating 599MW, then changed it to 185MW. Hwange and IPPs output same. ZRA reported water levels low in Kariba Dam. Unlikely for Kariba to produce 599MW with low water levels. Kariba has been low on output due to water scarcity. Kariba is major source of electricity generation. Kariba Dam is important for power generation in Zimbabwe. Decision to lower output unclear.

ZESA Reports 599MW For Kariba, Later "Corrects" Electricity Generation Figures To 185MW

The Zimbabwean government says the country’s power utility will continue generating electricity from the Kariba Dam hydroelectric station despite current low water levels attributed to drought.
The Kariba Dam, a primary source of electricity for both Zimbabwe and Zambia, is managed by the Zambezi River Authority (ZRA) on behalf of the two nations.
Last month, the Zambia Electricity Supply Corporation Limited (ZESCO) announced plans to shut down its power station at Kariba due to depleted water levels affecting power generation.
However, Zimbabwe’s Finance Minister, Mthuli Ncube, said the country will continue generating power from Kariba. Said Ncube:
<blockquote>
The Kariba might be shut down due to the low water levels, we don’t expect this to happen on the Zimbabwean side as we share this facility with Zambia and it’s managed through the Zambezi River Authority. Our prognosis is that on the Zimbabwean side, there shouldn’t be difficulty at all.
</blockquote>
The Zimbabwe Power Company (ZPC) has been producing decreasing amounts of power from Kariba Dam over the past several months.
As of October 16, 2024, the ZPC Kariba South Power Station was generating a meagre 184MW, compared to its installed capacity of 1,050MW.
According to the ZRA, the lake level has been steadily decreasing due to low inflow, reaching 476.30m (5.56% usable storage) on October 15, 2024, compared to 478.40m (20.23% usable storage) on the same date last year.
More: <a href="https://www.pindula.co.zw/">Pindula News</a>

Zimbabwe will keep making electricity at Kariba Dam, even though there's not much water because of drought. Zambia was going to shut down its power station at Kariba because of low water levels. Zimbabwe's Finance Minister said they'll keep generating power from Kariba. The amount of power being made at the dam has been decreasing. The water level in the lake is getting lower each day. Zimbabwe and Zambia share the facility, but only Zambia was planning to close it. Zimbabwe doesn't expect any problems with power generation at Kariba.

Zimbabwe To Continue Power Generation From Kariba Dam Despite Low Water Level

The Zimbabwe Electricity Supply Authority (ZESA) said it has been allowed to increase generation at <a href="https://wiki.pindula.co.zw/Kariba_South_Power_Station">Kariba South Power Station</a> for limited periods. In a statement seen by Pindula News, the power utility said power cuts have decreased in most parts of Zimbabwe and they expect the situation to improve further as they also increase electricity generation at the <a class="Markdown_link__9ACHA MarkdownLink_linkifiedLink__KxC9G">Hwange Power Station</a>. Reads the statement:
<blockquote>
<h2>ZESA HOLDINGS (PVT) LTD UPDATE ON POWER SUPPLY SITUATION</h2>
ZESA Holdings is pleased to advise its valued Stakeholders of the improved power supply situation in the country, which has led to reduced incidences of load curtailment to most of our customer segments. This achievement was as a result of implementation of various measures and stabilization of performance of the Hwange Unit 7 which is undergoing commissioning tests and has been able to supply a full load of 300MW to the grid in some instances.
Barring unforeseen technical challenges, we expect the electricity supply situation to continuously improve as we ramp up generation at the Hwange Power Station. Likewise, a lot of technical processes are ongoing in preparation of the impending synchronization of the Hwange Unit 8 which will add 300 MW to the grid.
Furthermore, we have been engaging with the Zambezi River Authority for more water allocation and we can confirm that we have been allowed to increase generation for limited periods.
Pursuant to our notice of 19 April 2023, we wish to remind our Valued Clients that the prepaid token purchase system will be unavailable from 5 May 2023 at 16:30 hrs to 6 May 2023 at 00:00 hrs to allow for scheduled major system maintenance. Clients are advised to make arrangements to purchase sufficient electricity tokens to sustain them during the service disruption period.
We would like to sincerely apologize to all our valued stakeholders for any inconveniences caused and assure that the Utility remains alive to the need to guarantee power supply to the nation, and will harness all measures to mitigate the power deficit challenges, increase capacity and improve service delivery.
</blockquote>
<h2><a href="https://news.pindula.co.zw/">More Pindula News</a></h2>

ZESA Allowed To Increase Generation Of Electricity At Kariba

The total collapse of Kariba South Power Station’s Unit Number 4 following years of neglect, is partly to blame for the ongoing electricity crisis facing Zimbabwe, it has emerged.
While the official narrative is that Kariba South Power Station is currently generating significantly less power than it was producing a few months ago due to depleted water allocations, Unit 4 had been unofficially decommissioned.
NewZimbabwe.com reported a Zimbabwe Power Company (ZPC) source as saying that the now dysfunctional unit recently broke down beyond repair due to a number of factors. Said the source:
<blockquote>
Yes, the narrative that ZPC has utilised its 2022 water allocation and was ordered by ZRA to suspend power generation is correct.
It must not be taken to be the sole and isolated reason for plunging the nation into darkness.
The crisis we find ourselves in is a result of decades of poor planning and not heeding advice that saw key machinery going for years without major maintenance.
In instances where new spares were needed, engineers were forced to resort to having them poorly machined in South Africa.
Also, there was a massive exodus of qualified personnel to run these plants due to poor salaries, but ZPC did not heed advice to nip the flight of engineers and other key technical staff in the bud.
Resultantly, the power plant was now in the hands of incompetent and inexperienced employees, thereby compromising efficiency.
The end result was the inevitable total shutdown of Unit Number 4, which is now beyond repair.
We depleted our water allocation ahead of Zambia because our machines were not just obsolete and inefficient, but also neglected, full stop!
</blockquote>
The source further claimed that a forensic audit to establish what transpired in the lead-up to the unit’s total collapse is underway. | <a href="https://www.newzimbabwe.com/kariba-water-levels-recede-but-power-stations-unit-4-total-collapse-has-worsened-already-dire-electricity-situation-official/">NewZimbabwe.com</a>

Kariba Power Station’s Unit 4 Broke Down Beyond Repair | Reports

Zimbabwe is reportedly negotiating with neighbouring Zambia for additional power imports following indications that the country’s <a href="https://www.pindula.co.zw/Kariba_South_Power_Station">Kariba South Power Station</a> could soon be switched off due to low water levels.
Acting Information minister<a href="https://www.pindula.co.zw/Jenfan_Muswere"> Jenfan Muswere</a> told a post-Cabinet briefing yesterday that deliberations had been made and Energy minister Zhemu Soda would update the nation soon.
Apart from the Zambia deal, Zimbabwe is banking on the expected coming online of Hwange unit 7 with an additional 300 megawatts (MW) next month.
Tests are reported to have been run although indications are that after the formal commissioning, the plant will run gradually until it optimises.
Zambia and Zimbabwe have a combined generation capacity of 2 130 megawatts at Kariba, which is on the Zambezi River that separates the two countries.
In July, Zambia declared that it had a surplus of about 1 000 MW.
According to the <a href="https://www.pindula.co.zw/Zimbabwe_Power_Company">Zimbabwe Power Company (ZPC)</a> website, Hwange Power Station is generating just 245MW, while other power stations Harare, Bulawayo, Munyati and Kariba are generating 11MW, 0MW, 14MW and 854MW, respectively, to give a total of 1 124MW, against a peak demand of 2 200 MW.
The move to engage Zambia comes after the Zambezi River Authority (ZRA) chief executive officer Munyaradzi Munodawafa said Zimbabwe had exhausted its 2022 water allocation necessitating the shutdown of the Kariba South Bank Power Station.
However, former Finance minister <a href="https://www.pindula.co.zw/Tendai_Biti">Tendai Biti</a> said Zimbabwe needed a fresh 2 000MW on its national grid to meet rising demand. He told <a href="https://www.newsday.co.zw/local-news/article/200004326/zim-turns-to-zambia-for-power-bailout">NewsDay</a>:
<blockquote>
You should just strike off Kariba, forget about it and look at new projects such as Batoka which can give you 2 000MW split in half between Zimbabwe and Zambia.
</blockquote>
He said the balance comes from alternative sources, including wind, solar and independent power producers.
<h2><a href="https://zero.pindula.co.zw/">More Pindula News</a></h2>

Zimbabwe Engages Zambia For Additional Power Imports - Minister

The opposition Citizens Coalition for Change (CCC) led by Nelson Chamisa has said the ruling ZANU PF has failed to address the country’s power crisis and proposed possible solutions to the issue.
In a social media post seen by Pindula News, the party emphasised the need to modernise power generation infrastructure. The party said:
<blockquote>
ZANU PF has failed to solve the power crisis. A CCC Government would: 
1. Rehabilitate Hwange Power Stations 
2. Build additional hydro-power.stations including at Batoka Gorge 
3. Modernize Zimbabwe’s transmission infrastructure
4. Open up the energy sector to independent power producers 
4. Invest in renewable energy including solar, wind &amp; gas
</blockquote>
This comes after the Zambezi River Authority (ZRA) advised Zimbabwe Electricity Supply Authority (ZESA) <a href="https://zero.pindula.co.zw/severe-load-shedding-looms-as-zra-tells-zesa-to-shut-down-kariba-power-station/">to shut down the Kariba South Bank Power Station</a> for the remainder of the year due to low water levels at Kariba Dam.
ZRA chief executive officer Munyaradzi Munodawafa said the Zimbabwe Power Company (ZPC), a subsidiary of ZESA Holdings, used more water than it had been allocated, hence the need to close the power plant until at least January 2023 to allow the dam to fill.
Zimbabwe experienced acute power shortages in the past three years with authorities blaming ageing equipment’s incapacity to generate enough power, reduced electricity imports and water shortages at Kariba Dam.
Government critics blame the ZANU PF-led government for the country’s prolonged electricity challenges saying little has been done to increase electricity generation since the 1980s.
<h2><a href="https://zero.pindula.co.zw/">More Pindula News</a></h2>

CCC's Proposed Solutions To Zimbabwe's Power Ciris

Zimbabweans will likely experience longer hours of load shedding as power generation at Kariba Hydro Power Station will be suspended for the remainder of the year due to low water levels at Kariba Dam.
Zambezi River Authority (ZRA) chief executive officer Munyaradzi Munodawafa revealed that the Zimbabwe Power Company (ZPC), a subsidiary of ZESA Holdings, used more water than it had been allocated, necessitating the closure of the power plant until at least January 2023 to allow the dam to replenish.
Kariba Hydro Power Station is Zimbabwe’s only reliable power plant, as Hwange Thermal Power Station constantly breaks down due to ageing equipment while the other smaller thermal power plants are constantly affected by shortages of coal.
A letter dated 25 November 2022 addressed to the Zimbabwe Power Company by Munodawafa advising the company to shut down the Kariba South Bank Power Station, reads:
<blockquote>
<h2>EXHAUSTION OF 2022 WATER ALLOCATION AND NEED FOR SHUTDOWN OF KARIBA SOUTH BANK POWER STATION TO AVERT RISK OF TOTAL SHUTDOWN OF POWER GENERATION OPERATIONS AT KARIBA</h2>
We refer to the above subject matter as well as to the current Water Purchase Agreement between the Zambezi River Authority, Zimbabwe Power Company (ZPC)/Kariba Hydro Power Company (Private) Limited (KHPC) and ZESCO Limited. Further reference is made to the High Level Joint Technical Committee Meetings of 10th and 25 November 2022 held between the parties to the Water Purchase Agreement for Kariba.
Please be advised that as of 25th November 2022, Kariba South Bank Power Station had utilised 23.89 Billion Cubic Meters (BCM) of water, accounting for 1.39 BCM (or 6.16%) above the 2022 water allocation of 22.50 BCM.
Given that the Kariba Reservoir usable storage currently stands at a paltry 2.98 BCM or 4.60% full, and that ZESCO Limited still has a positive balance of 2.44BCM (10.82%) as of 25th November 2022, ZPC/KHPC no longer has any usable water to continue undertaking power generation operations at Kariba South Bank Power Station.
With the current performance of the 2022/2023 rainfall season in the Kariba Lower Catchment where the river flows are yet to improve and the associated inflows from the Upper Kariba Catchment which will only influence any potential increase in the Lake Level at Kariba during the later part of the first quarter of 2023, it is highly unlikely that there will be any reasonable inflow augmentation in the remaining period of the year 2022, giving little or no chance of improvement in the reservoir storage levels during the remaining period of the year 2022 and going into the first quarter of the year 2023.
If the current water utilisation above allocation at Kariba South Bank Power Station continues, the remaining water for power generation at Kariba (live storage) will be out by mid-December 2022 or much earlier.
Guided by the Water Purchase Agreement and the provisions of the ZRA Acts and as the agreed Reservoir Operational Framework under the Joint Technical Committee (JTC), where the Authority and the two Kariba Power Generation Utilities are obligated and have agreed to sustainably operate the reservoir, the Zambezi River Authority is left with no choice but to firmly guide that ZPC/KHPC immediately ensures that generation activities at the South Bank Power Station are wholly suspended henceforth, until January 2023 when a further review of the substantive Hydrological Outlook at Kariba will be undertaken which will include consideration of the total reservoir live storage build-up which would have resulted from a shutdown of the Kariba South Bank Power Station power generation operations.
</blockquote>

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