Zambia secures loan from India to upgrade hydropower plant

Zambia has secured a loan of US$50 million from India's government to develop the 120-MW Ithezi Thezi hydropower project.

The loan, secured through TATA Africa Holdings, will be used for the rehabilitation of the hydro plant through an equal stake joint venture between Zambia's Electricity Supply Corporation Ltd and TATA Africa.

The funding is part of the US$240 million required to enhance Ithezi Thezi power plant and provide an additional 120 MW of power.

Under the agreement, Zambia's state power utility and TATA Africa are expected to ensure the plant is rehabilitated and commissioned before the end of 2011.

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