Zesa lights up mega steel project
THE Zimbabwe Electricity Transmission and Distribution Company (ZETDC) has completed the construction of a 27-kilometre high voltage power line to connect the US$1 billion iron and steel plant being set up in Chivhu to the national grid.
Dinson Iron and Steel, a subsidiary of Chinese steelmaker Tsingshan Holdings, is setting up Africa’s largest steel plant in Chivhu and is partnering ZETDC to construct a 97 km-long power line under a Public-Private Partnership Agreement. The pact awaits approval by the Zimbabwe Investment and Development Agency (ZIDA).
On Friday, zesa executive chairman Dr Sydney Gata toured the construction site accompanied by the parastatal’s senior management and engineers.
Speaking during the tour where he also met Dinson management, Dr Gata said: “This is a strategic national project, and we are committed to seeing it to fruition.
“Therefore, I have brought in a very large team of experts from the region and head office to come and have a physical appreciation of what we need to do and map a way forward.
“It (the steel plant) will be the largest customer project for ZESA requiring up to 500MW in the next two years, which is equivalent to almost a third of today’s national consumption.”
He said zesa had completed drawing all the plans for the transmission system, which will also include two large power substations.
“The line that will come from Sherwood near Kwekwe will supply the two sites that constitute the project.
“This project will bring a lot of economic and social benefits to the country, it will be a township and we must supply electricity to meet the demands of the town.
“We have been given a site and there will be substations and depots to service the population; we are looking at a full establishment.”
Dinson Steel public relations officer Mr Pardon Kufakunesu said the company was impressed by zesa’s commitment to the project.
“zesa has been very instrumental in giving us the temporary requirements.
“This was a forest and we needed temporary power for construction which you see is what we have now.
“What we await is the finalisation of the PPP so that the works can commence.”
The project will have a turnover of US$1,5 billion from the processing plant and iron ore mine from next year.
Equipped with a 1,5km by 600m carbon and steel plant, an iron ore mine, and a ferrochrome plant, the project will have a capacity of 1,2 million tonnes of iron and steel a year.
Between 4 000 and 5 000 people be directly employed across the value chains.