Zambian JV to Build Power Plant

6 June 2010 (Last Updated June 6th, 2010 18:30)

Zambia plans to build a new power plant to add 120MW to the country's generation capacity, according to an energy industry official. The power plant will be developed as a joint venture between Zambia's private Lunsemfwa hydro power company and InfraCo, a European-funded infrastructure

Zambia plans to build a new power plant to add 120MW to the country’s generation capacity, according to an energy industry official.

The power plant will be developed as a joint venture between Zambia’s private Lunsemfwa hydro power company and InfraCo, a European-funded infrastructure project developer in sub-Saharan Africa, reports Reuters.

Lunsemfwa general manager Katai Kachasa told Reuters the feasibility studies will start next month. The process is to be complete by June 2011.

“The project is estimated to cost between $220m and $275m depending on the final design,” Kachasa said.

Zambia plans to issue an international bond of $1bn this year, to raise funds for power projects and other infrastructure to meet rising energy demand.