This archive report was first published on 25 September 2019.
Published on September 25, 2019, China's Sinohydro has halted work on Zambia's Kafue Gorge hydroelectric dam, citing difficulties beyond its control.
The dam, operational since 2015, employs over 5,000 people directly and indirectly.
As Zambia struggles to boost its power production and reduce dependence on neighboring countries, the Kafue Gorge dam and hydroelectric power plant are key energy projects.
The project, initially set for commissioning in 2020, is a public-private partnership between the government and Zambia Electricity Supply Corporation (Zesco).
Financed by the Zambian government and foreign financial institutions, including the Exim Bank of China, the project's total cost is approximately $2 billion.
With an initial investment of $186 million from the government, the Kafue Gorge hydroelectric power station aims to supply 750 MW of power.
Despite having an installed capacity of 1,948 MW, Zambia has a potential to produce approximately 6,000 MW of hydro power, but only 25% of the population has access to electricity.
