Total Project Cost
Investment Required
Stakeholders
Countries
Project Overview
Description
The ZIZABONA transmission project consists of the development, financing, construction and operation of new transmission facilities in Zimbabwe, Zambia, Botswana and Namibia to facilitate the creation of a western transmission corridor in the Southern African Power Pool to decongest the central corridor. The construction is 422 km of transmission interconnectors in Zimbabwe (Hwange) – Zambia Livingstone (Mukuni) – 101 km (Hwange to border) and 14km (border to Mukuni), Zimbabwe (Victoria Falls) – Botswana (Pandamatenga) – 76 km, Zambia (Mukuni) – Namibia (Zambezi) – 231 km. All lines will be constructed at 400 kV, with initial operation at 330kV and initially targeting to transfer 300 MW.
Objectives
Provide an alternative electrical power transmission in the region and decongest the existing central transmission corridor congest the existing central transmission corridor that passes through Zimbabwe, thus boosting electricity trading among Member States. Interconnect the four countries. Create an alternative wheeling path between North and South and Decongest the Central Transmission Corridor for enhanced power trade among SADC countries.
Strategic Importance
Strategic regional transmission project to enhance power trading capacity and system reliability in Southern Africa.
Technical Specifications
Technology & Design
Regional transmission interconnection with 400 kV capacity.
Capacity & Size
300 MW initial transfer capacity
Technical Details
All lines will be constructed at 400 kV, with initial operation at 330kV and initially targeting to transfer 300 MW.
Development, Implementation & Financial Details
Development Timeline
Project structuring to be completed by 2024, with financial close targeted for 2025.
Latest Implementation Updates
UPDATED2024-01-23: AfDB procured consultancy to update ZIZABONA feasibility & ESIA studies – https://www.afdb.org/en/documents/contract-awards-zizabona-project-preparation-support-pps-under-africa-energy-transition-catalyst-program-updates-feasibility-and-esia-studies-pern
Financing Structure
The project is expected to be financed through a combination of public funding from the participating utilities and support from development finance institutions.
Capital Structure
75% debt, 25% equity
Project Timeline
Start Date
January 2023
Expected Completion
December 2028
Development Timeline
Project structuring to be completed by 2024, with financial close targeted for 2025.
Project Status History
Status 2020
Structuring
Status 2022
Structuring
Status 2024
Structuring
Additional Project Details
Preparation Funding Gap
USD 5.00M
Construction Timeline
Construction expected to take 2-3 years after financial close.
Legal & Financial Advisors
To be appointed
Market Analysis
Market Analysis
Growing power trade in the SAPP region, with need for additional transmission capacity to reduce congestion.
Market Demand
Existing central corridor is congested, limiting power trading opportunities in the region.
Key Stakeholders
Project Sponsor
ZIZABONA Project Management Unit
Key Parties
Namibian Power Utility (NamPower), Zimbabwe Electricity Supply Authority (ZESA), Zambia Electricity Supply Corporation (ZESCO), Botswana Power Corporation (BPC)
Investors
The four national utilities, development finance institutions
Contractors & Operators
To be determined through competitive procurement
Risk Assessment
General Risk Assessment
Coordination challenges among multiple countries, financing risks, potential construction delays.
Regulatory Risks
Regulatory frameworks in place but require harmonization across the four countries.
Impact Assessment
Environmental Impact
Limited environmental impact expected as the transmission lines follow existing corridors where possible.
Social Impact
Enhanced energy security, support for economic development, potential for increased regional cooperation.
Investment Opportunities
Private Sector Opportunities
Boost of tourism sectors in the border towns of Victoria falls and Kazungula through increased and reliable power supply, a sector which favours women participation.
Next Steps & Agreements
Next Steps
Complete project structuring, secure financing commitments, finalize environmental approvals
Offtake Agreements
Transmission service agreements to be established among the participating utilities.
Contact Information
Project Management Unit, ZIZABONA Project
