Gwayi-Shangani Dam project put on hold

THE Gwayi-Shangani Dam project in Matabeleland North remains in limbo three years on after the contractor suspended operations due to lack of funding.

Close to $90 million is required to complete the project, which is part of a solution to Bulawayo's perennial water problems and robust agricultural development in the province.

Engineers in charge of the project told the Acting President Phelekezela Mphoko and senior government officials during a visit to the dam site in the Gwayi area on Wednesday that nothing was happening on the ground as there was no money.

The project, a major component of the long-awaited National Matabeleland Zambezi Water Project (NMZWP), was initially targeted for completion in July this year — spearheaded by China International Water and Electric (CWE), the company contracted by government to construct the dam.

"Currently the project is on suspension due to lack of funding. The contractor stopped working citing funding constraints and we hope money will be found for it to resume," said one of the engineers during a briefing.

It also emerged that the government owed the contractor close to $18 million for the preliminary works that had been done since commencement of the project in 2012.

In shock VP Mphoko retorted "So at the moment there's nothing taking place here?" to which the engineer replied "Yes".

The State Procurement Board awarded the Chinese firm tender to do the project in November 2012.

According to the engineers, the contractor immediately moved to site by mobilising equipment, created access roads, erected requisite structures and machinery installations, which were seen by VP Mphoko.

"The contractor has done concrete excavations, which were completed in December 2012 but could not proceed further because of funds. He had to stop operations five months later in May 2013," said the engineer.

While the government has provided some funding for the project through budgetary allocations in 2012 ($8 million), 2013 ($8 million) and $10 million in 2014, no allocations were made in 2015 and this year.

In June 2014 a high powered ministerial delegation visited the project and indicated funding to the tune of $53 million was to be secured for the project from China Africa Sunlight Energy (CASE), which pitched a $2,1 billion 600MW electricity project that is expected to draw water from the dam.

VP Mphoko was told that the company has failed to meet its commitment to funding the dam project as it was having some challenge with its investors.

Should funding be availed, the engineers say the dam project could be completed within 24 months.

VP Mphoko, who was accompanied by Matabeleland North Provincial Minister of State, Cain Mathema, expressed concern over delays in the completion of the project and pledged to engage the relevant ministries to ensure progress.

"This project has taken too long to complete. We don't need to tie it to this company alone but would rather get the required funding from other sources," said Mphoko.

"This dam is very important to this region, especially for the communities around this area for irrigation farming interests. We'll ensure this project is completed as soon as possible. As long as we've water this country will never have problems."

Gwayi-Shangani Dam would be the third largest in the country after Tokwe Mukorsi and Mutirikwi.