Speaking after the Cabinet meeting yesterday, Information,
Publicity and Broadcasting Services Minister Jenfan Muswere said the joint
venture project will enable the transfer of technology and expertise to ZESA
Enterprises and its staff and provide a market for Zimbabwean copper mines.
The proposal was presented by the Minister of Finance,
Economic Development and Investment Promotion, Professor Mthuli Ncube.
“Cabinet approved ZESA Enterprises (Pvt) Ltd to conclude an
agreement framework with Management Services Company (for the) establishment of
a US$25 million transmission cable manufacturing plant in Harare,” he said.
“The project will ensure availability of power cables for
the revitalisation and expansion of transmission and distribution networks to
meet national targets for increased access to electricity.”
Minister Muswere said those in the mining and cable
manufacturing value chains and downstream industries would benefit
significantly from the project.
Local copper mines would have a local market for their
produce, and there will be significant employment opportunities for
Zimbabweans.
“The value chains will also contribute to increased gross
domestic product, through local, regional and continental cable and related
product sales which will also include exports,” he said.
Zesa Holdings has joined three of its subsidiaries under
the ownership of the Mutapa Investment Fund, the national sovereign wealth
fund, with only the national grid and sales utility Zimbabwe Electricity
Distribution and Transmission Company remaining under direct State control.
In Statutory Instrument 51 gazetted yesterday, President
Mnangagwa added the State shareholding in seven companies to the list of assets
of the Mutapa Investment Fund.
Besides the shareholdings in Zesa Holdings and subsidiary
Zesa Enterprises, a manufacturer, the President added five companies owned by
the Reserve Bank of Zimbabwe.
These are: Aurex, a major jewellery maker; Export Credit
Guarantee Corporation of Zimbabwe; Fidelity Gold Refinery; and HomeLink Private
Limited and HomeLink Finance.
Zesa had last September seen two subsidiaries move to
Mutapa: the Zimbabwe Power Company, which owns and runs Kariba South and Hwange
Thermal Power stations and owns the sites of the three now closed small
thermals, and PowerTel, which owns, leases out and manages the fibre optic
network linked to the national grid.
The Mutapa Investment Fund was a major upgrade and renaming
done in September last year of the original 2014 Sovereign Wealth Fund.
This upgrade saw the transfer of Government shareholdings
in a block of State-owned entities and former parastatals to the fund along
with other Government investments.
The purpose of using Mutapa to own the investments is to
help ensure that they are profitable and well-run. Herald
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