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Zimbabwe to invest $450 million in power sector, boost national grid

The new upgrade will add 400MW to the national grid
Electricity transmission line across different netwrok
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Zimbabwe has declared plans to invest $450 million to upgrade Hwange Power Station as part of efforts to stabilise electricity supply and reduce prolonged power shortages.

In a statement by the state-owned utility firm, Zesa Holdings, on Monday, refurbishment works on Units 1 to 6 are expected to begin in the first quarter of next year under a 15 year concession agreement with Jindal Steel and Power.

Zesa says the project will restore the coal fired plantโ€™s installed capacity to โ€œ920 megawatts, improve grid reliability, and help close the widening gapโ€ between electricity demand and supply.

Authorities describe the upgrade as the fastest and most cost effective way to add about 500 MW to the national grid while reducing recurring equipment faults.

Similar arrangements have been used in recent years to attract private capital into Zimbabweโ€™s energy sector.

Role of Hwange Power Station to Zimbabweโ€™s electricity

Hwange Power Station remains the backbone of Zimbabweโ€™s electricity system, supplying a significant share of power consumed nationwide.

Located in Matabeleland North province, the plant supports households, mining operations, agriculture, and manufacturing.

With an installed capacity of 920 MW, Hwange is designed to meet a large portion of national demand.

However, persistent breakdowns and deferred maintenance have often kept output well below this level, forcing widespread load shedding.

Zesa has said refurbishment of Units 1 to 6 will restore dependable generation and extend the plantโ€™s operational life.

When Hwange units are offline, the national grid becomes more exposed to sudden outages and frequency instability.

Restoring Hwangeโ€™s capacity is also expected to reduce reliance on electricity imports, which have weighed on foreign currency reserves.

More on Zimbabweโ€™s electricity crisis

Zimbabwe has struggled with chronic electricity shortages for years, with power cuts affecting economic output and daily life. Manufacturing firms and mines have frequently scaled back operations due to unreliable supply.

Electricity demand has continued to rise as the economy gradually recovers and urban consumption grows. Generation capacity, however, has not expanded at the same pace.

Hydropower output from Kariba has been constrained by low water levels, placing greater strain on thermal stations such as Hwange. This imbalance has worsened load shedding during peak demand periods.

Aging infrastructure and limited capital for maintenance have contributed to frequent faults at existing plants. Utility sector data show that unplanned outages have become a major driver of supply instability.

Other investment in electricity in Zimbabwe

Beyond Hwange, Zimbabwe has pursued several initiatives to improve electricity generation.

Expansion works at Kariba South, for instance, have previously added capacity, though output remains vulnerable to hydrological conditions.

Solar energy projects are gaining momentum as authorities seek to diversify the power mix. Multiple grid connected solar plants have been licensed, with some already feeding electricity into the national grid.

The government has promoted private sector participation through independent power producers and concession agreements. Officials say this approach helps mobilise funding that the state cannot provide alone.

Regional power imports continue to play a supporting role, particularly during periods of low domestic generation. However, authorities aim to reduce long term dependence on imported electricity.

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