3.7 Investment Environment in the Energy Sector and the Ease of Doing Business
Whilst Mr. Chivayo had his own weaknesses, the Gwanda National Solar Project clearly demonstrates that a lot of work needs to be done to improve on the ease of doing business in order to attract investment to kick-start a number of power generation projects in the country. The Committee is deeply concerned that several power projects which have a capacity to generate more than 2000 MW are not moving, yet President E. D. Mnangagwa is vigorously sourcing billions worth of investment into the country and the economy will only succeed with adequate supply of electricity.
It is important for government institutions such as the Companies Registry, the Procurement Regulatory Authority, ZPC and others to ensure that they do not frustrate investors. Such regulatory bodies should act within the confines of the law and protect the government from entering into dubious agreements with briefcase business persons. Due diligence should be conducted on all potential investments. The Committee would like to encourage ZESA Holdings to vigorously look for investments from across the globe to kick-start most of the power projects outlined in the national economic blueprints. The controversy surrounding the Gwanda National Solar Project need to be cleared in order to attract new investment for the project to move forward.
Conclusion
The Committee is convinced that the award to Intratrek was done unprocedurally, unlawfully and there may way have been an exchange of monies between the negotiators of the deal. There is need to clear the controversy surrounding this project in order to attract genuine and meaningful investment for the project. Electricity is a critical component in spurring and stimulating economic development, hence a transformed and rejuvenated ZESA Holding is needed in ensuring that the country is able to improve and increase its local generation capacity. I thank you.
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