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World Bank to Help Zesco Improve its Power Transmission in Southern Province

May 15, 2012

$60 million being made available for bulk power transmission to the improve reliability of power to satisfy the growing domestic power demands in Sothern Province and Regional Power Trade

WASHINGTON, May 15, 2012 – The World Bank Board of Directors today approved a US$60 million IDA* credit to reinforce the existing electricity transmission network and increase Zesco’s power transfer capacity to Kafue town and the Southern Province. The development objective of the project is to improve the reliability of Zesco’s regional power trade transmission network infrastructure along the Kafue Town – Muzuma – Victoria Falls corridor.

According to the Task Team Leader of the Project, Bobak Rezaian, the project will have three components. The first phase will focus on replacing the existing 220kV transmission line with a new 330 kV transmission line from Kafue to Livingstone. The upgrade will increase the power transmission capacity to satisfy the growing domestic power demands not only in the Southern Province but also across the border to Namibia and Zimbabwe.

Complementing these improvements, the second phase involves constructing a new 330/220kV substation in Livingstone and upgrading the two substations at Kafue town and Muzumato. This will create a functioning transmission system which will provide a high level of security and an enhanced quality of supply for the regional power trade. Moreover, the improved system configurations will allow Zesco the capacity to satisfy increased demands at Kafue town.

The third component will focus on project management, training, and environmental and social mitigation.

Reacting to the news, Country Director for Zambia, Malawi and Zimbabwe, Kundhavi Kadiresan said, “Access to electricity is very vital for all round development in Zambia. This project will not only benefit  the people of Southern Province and Kafue  alone,  it will also bring additional revenues for ZESCO through wheeling charges gained from cross-border power trade, enabling Zesco to more actively participate in the short-term energy market.”

*The International Development Association (IDA) is the part of the World Bank that helps the world’s poorest countries. Established in 1960, IDA reduces poverty by providing interest-free credits and grants that boost economic growth, and improve people’s living conditions. IDA credits are zero interest and repaid over 25 to 40 years, including a 5 to 10-year grace period.

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