- The IDBZ Board of Directors approved the 5 MW Gutu Solar Power Generation Plant.
- Under the Framework Agreement, the IDBZ was to provide funding for the preparation and development of the project.
The Industrial Development Bank of Zimbabwe (IDBZ) Board of Directors has approved the proposed 5 MW Gutu Solar Power Generation Plant. The Gutu solar project’s development started with the signing of a Memorandum of Understanding in 2018 between the Gutu Rural District Council (GRDC) and the IDBZ.
This was followed by creating a Special Purpose Vehicle (SPV), Chatsworth Energy (Private) Limited, registered in July 2020. In December 2020, a framework agreement (FMA) was concluded to develop and construct a 20MW Solar Plant in Chatsworth.
However, due to the long distance (28km) between the proposed solar plant site at Chatsworth and the nearest substation, the site was relocated to the land, which is only 1km away from the ZETDC 33/11kV Substation.
Furthermore, in light of the Grid Impact Assessment Study commissioned by the Bank and conducted by Zimbabwe Electricity Transmission and Distribution Company (ZETDC) in June 2021, it was agreed that the maximum capacity that the nearby infrastructure could safely evacuate was 5MW.
Under the Framework Agreement, the IDBZ was to provide funding for the project’s preparation and development, while GRDC was to provide leased land for the project. The land is currently zoned as a resettlement area and owned by the state.
GRDC applied for a 25-year lease from the Ministry of Lands, Agriculture, Water, Fisheries and Rural Development (MoLAWFRD). The lease application was approved on October 6, 2023. In addition to land ownership through the Lease, the GRDC has already commenced land clearing, access road construction, and boundary security fencing.
For project preparation, through the Ministry of Finance, Economic Development & Investment Promotion, the Bank secured funding from the French Development Agency, AFD, to co-finance the detailed Feasibility and ESIA Studies for the project.
Furthermore, an open tender was launched, and a contract was awarded to SOWITEC Kenya Limited, in partnership with MAZEDECK Ventures (Pvt) Limited (Zimbabwe), in July 2022.An EPC Contractor will be procured for project implementation, lasting 12 months.