Q FM Africa's Modern Radio
President Edgar Lungu
President Edgar Lungu says government is aware of the impact that the current load shedding has had on the economy and that is why he is personally leading a robust response to ensure this situation is normalized.
Speaking during the handover of the Kafue Gorge Lower Project site to the contractor Sinohydro Corporation of China at Kafue Gorge today, President Lungu says he will next month be commissioning the 100MW power station at Itezhi Tezhi.
President Lungu says the Kafue Gorge Lower project is estimated to cost two billion United States dollars inclusive of financing costs.
President Lungu says government has managed to provide an initial one hundred and eighty six million United States dollars to Zesco as part of the initial equity and investment contribution to kick- start the project.
He says this long awaited project will go a long way in mitigating the enormous power deficit the country is currently experiencing and that the power station will be the third largest in Zambia after the Kariba North Bank and Kafue Gorge power stations which have installed capacities of 1,080mw and 990mw respectively.
The Head of State has emphasized that when government turns to bilateral partners and to open markets to borrow, they do so judiciously, and for essential investment purposes.
He has reminded Zambians that even the existing power infrastructure at Kariba and Kafue power stations were financed through external borrowing.
President Lungu has explained that government is expected to provide 15% of the project cost equity funding while the contractor shall assist in arranging 85% of the total project cost as debt financing from the China Exim bank and industrial and commercial bank of China (ICBC).
President Lungu has disclosed that this project will create about 5,000 jobs at the peak of construction and that it will also create business opportunities for suppliers of goods and services to benefit the local communities and the country at large.
The Head of State has since appealed to Zambians to be patient in the wake of current power deficits as government is working hard to ensure reliable and quality power supply is guaranteed soonest.