Zimbabwe is currently able to fulfil about 50% of its 2GW electricity requirement.
Under the terms of the agreement, Jindal Africa will finance, rehabilitate, and operate the thermal units for 15 years. After this period, the plant will be transferred back to the Zimbabwe Power Company, the state-owned electricity producer and distributor. Jindal will recover its investment through electricity sales, reducing financial and operational risks for the government while ensuring continued supply.
Zimbabwe currently meets only about half of its 2,000MW electricity demand, leading to frequent power outages. Much of the shortage stems from the declining performance of older facilities. The Hwange power station is the country’s largest, with an installed capacity of 1,520MW. In 2023, two new units were commissioned, adding 600MW to the grid. However, its older sections, built in the 1980s, are operating at roughly one-third of their intended capacity due to frequent breakdowns.
The Kariba hydropower station, another key source of electricity, has also faced limitations. Originally built in the 1960s, it was upgraded in 2018 with an additional 300MW, bringing its total to 1,050MW. However, recurring drought conditions have constrained its generation capacity in recent years.
The Hwange refurbishment project is viewed as critical to stabilizing Zimbabwe’s electricity supply. By revitalizing ageing infrastructure, the government aims to narrow the supply gap, reduce outages, and support industrial and economic activity. The concession structure allows private investment to strengthen capacity while maintaining eventual state ownership of assets.
Jindal Africa’s involvement also reflects its broader energy development activities. In December last year, JSP Green Wind 1, a subsidiary of Jindal Renewables, expanded its partnership with Suzlon in India, undertaking a 302.4MW wind project in Karnataka’s Koppal region. These investments highlight Jindal’s diversified approach across both conventional and renewable energy sectors.
Minister Moyo emphasized that the Hwange project demonstrates a practical solution to the country’s immediate electricity challenges. The rehabilitation of six units is expected to restore significant capacity, ensuring greater reliability for households and businesses.
Overall, the agreement marks a major step in Zimbabwe’s efforts to strengthen its energy sector. With Jindal Africa financing and managing operations for 15 years, the project provides a path to stabilize supply while reducing government expenditure. Once completed, the refurbished Hwange units are expected to play a central role in securing Zimbabwe’s electricity needs for years to come.
