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Zimbabwe's power deficit soars to 1,560 megawatts
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Zimbabwe is grappling with a worsening power crisis, with the country's electricity deficit now standing at a staggering 1,560 megawatts (MW), according to a new report from Parliament's Portfolio Committee on Energy and Power Development.
The report highlights the severe electricity shortages, revealing that Zimbabwe's installed generation capacity stands at 2,570 MW, but the country is only able to generate 1,079 MW. This mismatch between capacity and actual generation continues to strain the national grid, with no immediate solution in sight.
"Zesa management highlighted that Zimbabwe is still facing serious power outages because the distribution supply of electricity is not meeting the nation's demand," the committee noted in the report. Despite functioning transmission and distribution lines, the country's power plants are operating below optimal capacity, leading to widespread load shedding.
The committee pointed out that the Kariba South Power Station (KSPS) is currently producing just 250 MW, while Hwange Power Station contributes 750 MW, and Independent Power Producers (IPPs) provide a further 69 MW, making a total of only 1,079 MW. This is significantly lower than the country's demand, which ranges from 1,500 MW to 2,350 MW.
In response to the shortfall, Zesa Holdings, Zimbabwe's power utility, has been importing electricity from neighboring countries such as Namibia to mitigate load shedding. However, the committee warned that without urgent intervention and strategies to boost local generation, Zimbabwe could face prolonged power shortages.
A major contributor to the power crisis is the outdated infrastructure at the Kariba and Hwange power stations, some of which date back to as much as 60 years. ZPC (Zimbabwe Power Company), a subsidiary of Zesa, has noted that it faces a substantial debt burden, including a $350 million loan for the renovation of KSPS, and is struggling to service its foreign debt obligations.
"Zesa created a huge debt burden on the utility, including foreign currency commitments for loan repayments and spare parts purchase," the committee observed. Due to this financial strain, the utility has had to export power to raise foreign currency for its operations.
The committee also criticized Zimbabwe's overreliance on the Kariba South Power Station upgrade, describing it as a short-term fix that is vulnerable to water shortages. This strategy has failed to resolve the country's long-standing electricity woes, and the committee emphasized the need for a more diverse energy mix, including thermal, nuclear, and renewable energy sources, to ensure a stable supply of power.
"Global funding trends favouring renewable energy projects have limited Zimbabwe's options for a balanced energy mix," the committee said, acknowledging the role of renewables in meeting peak demand.
The committee further stressed the importance of securing financing for power projects, noting that Zimbabwe's history of poor loan servicing has hindered access to affordable funding for energy development. It also pointed out that the Hwange and Kariba projects were procured at inflated costs, which have contributed to high electricity tariffs.
To address these challenges, the committee has recommended that Zesa focus on attracting significant investments to refurbish existing power plants and construct new ones. Additionally, it urged the Ministry of Energy and Power Development to diversify the country's energy mix and improve system reliability by December 2026.
"The committee recommends a strategic balance between base load power sources such as thermal and nuclear and renewable energy like solar, wind, and geothermal," it stated.
To facilitate these efforts, the committee called on Treasury to disburse funds in a timely manner to service loans for power projects, thereby easing Zimbabwe's debt servicing challenges, improving its creditworthiness, and enabling access to affordable financing for energy projects.
Without urgent intervention and strategic reforms, Zimbabwe's power crisis is expected to persist, severely impacting economic growth and daily life across the nation.
The report highlights the severe electricity shortages, revealing that Zimbabwe's installed generation capacity stands at 2,570 MW, but the country is only able to generate 1,079 MW. This mismatch between capacity and actual generation continues to strain the national grid, with no immediate solution in sight.
"Zesa management highlighted that Zimbabwe is still facing serious power outages because the distribution supply of electricity is not meeting the nation's demand," the committee noted in the report. Despite functioning transmission and distribution lines, the country's power plants are operating below optimal capacity, leading to widespread load shedding.
The committee pointed out that the Kariba South Power Station (KSPS) is currently producing just 250 MW, while Hwange Power Station contributes 750 MW, and Independent Power Producers (IPPs) provide a further 69 MW, making a total of only 1,079 MW. This is significantly lower than the country's demand, which ranges from 1,500 MW to 2,350 MW.
In response to the shortfall, Zesa Holdings, Zimbabwe's power utility, has been importing electricity from neighboring countries such as Namibia to mitigate load shedding. However, the committee warned that without urgent intervention and strategies to boost local generation, Zimbabwe could face prolonged power shortages.
A major contributor to the power crisis is the outdated infrastructure at the Kariba and Hwange power stations, some of which date back to as much as 60 years. ZPC (Zimbabwe Power Company), a subsidiary of Zesa, has noted that it faces a substantial debt burden, including a $350 million loan for the renovation of KSPS, and is struggling to service its foreign debt obligations.
"Zesa created a huge debt burden on the utility, including foreign currency commitments for loan repayments and spare parts purchase," the committee observed. Due to this financial strain, the utility has had to export power to raise foreign currency for its operations.
The committee also criticized Zimbabwe's overreliance on the Kariba South Power Station upgrade, describing it as a short-term fix that is vulnerable to water shortages. This strategy has failed to resolve the country's long-standing electricity woes, and the committee emphasized the need for a more diverse energy mix, including thermal, nuclear, and renewable energy sources, to ensure a stable supply of power.
"Global funding trends favouring renewable energy projects have limited Zimbabwe's options for a balanced energy mix," the committee said, acknowledging the role of renewables in meeting peak demand.
The committee further stressed the importance of securing financing for power projects, noting that Zimbabwe's history of poor loan servicing has hindered access to affordable funding for energy development. It also pointed out that the Hwange and Kariba projects were procured at inflated costs, which have contributed to high electricity tariffs.
To address these challenges, the committee has recommended that Zesa focus on attracting significant investments to refurbish existing power plants and construct new ones. Additionally, it urged the Ministry of Energy and Power Development to diversify the country's energy mix and improve system reliability by December 2026.
"The committee recommends a strategic balance between base load power sources such as thermal and nuclear and renewable energy like solar, wind, and geothermal," it stated.
To facilitate these efforts, the committee called on Treasury to disburse funds in a timely manner to service loans for power projects, thereby easing Zimbabwe's debt servicing challenges, improving its creditworthiness, and enabling access to affordable financing for energy projects.
Without urgent intervention and strategic reforms, Zimbabwe's power crisis is expected to persist, severely impacting economic growth and daily life across the nation.
Source - newsday
