ZPC & Chivayo’s Intratek Zimbabwe to Resume Gwanda Solar Project
After a prolonged period of uncertainty and legal battles, the Zimbabwe Power Company (ZPC) and Wicknell Chivayo’s Intratek Zimbabwe are poised to restart the 100MW Gwanda Solar Project. The project, which faced setbacks due to alleged non-performance by Chivayo’s company, is now back on track following recent developments.
ZPC’s acting managing director, Norbet Matarutse, disclosed to the parliamentary portfolio committee on mines and energy on Tuesday that discussions are underway to revive the stalled Gwanda Solar Project.
Intratek Zimbabwe had initially won the US$200 million tender for the project in 2015. However, complications arose when ZPC disbursed US$5 million to Intratek for pre-commencement works, including site clearance and feasibility studies, but the project failed to progress as planned.
Subsequently, ZPC terminated the contract citing non-delivery of agreed-upon targets and reported Intratek and Chivayo to the police on fraud charges. Despite the legal tussles, Chivayo and Intratek were acquitted of fraud allegations by the courts, which upheld the validity of the contract and directed ZPC to fulfill its contractual obligations.
ALSO READ: Nhimbe Fresh Exports Director ‘EDWIN MOYO’ In Us$350k Fraud Storm
According to ZimLive, The recent developments signify a potential breakthrough in the long-standing impasse surrounding the Gwanda Solar Project. The resumption of the project could have significant implications for Zimbabwe’s energy sector, offering prospects for increased renewable energy capacity and addressing the country’s power supply challenges.
“The Supreme court made a judgement that we need to go back to the contract that we signed with Intratek in 2015 which is what we are doing. We seek to make sure that we abide by the ruling of the Supreme Court,” Matarutse told committee members.
Tungamirai Chinhengo, a lawyer for ZPC told the same committee that the US$5 million paid to Intratek was for the commencement works but legislators were of the view that state funds were wasted on land clearance.
“The parties are currently engaging each other with a view to resuming works at the Gwanda Solar Project.
“However, I want to clarify a position which has been misinterpreted about the US$22 million damages.
“The issue of damages has never been ordered by any court in respect of this. The High Court and Supreme Court never ordered anything in respect of damages to Intratek,” he said.
He mentioned that ZPC and Intratek were also in talks to reassess the contract price.
“Global solar pricing has reduced quite significantly due to technological improvements so the parties are in discussion in terms of contract price and modus operandi in the interest of time that has lapsed since 2015,” he told MPs.
