Zimbabwe's ZERA, Mazambani ditch dodgy bids in Bulawayo

Zimbabwe's electricity regulator plans to discontinue its current system of unsolicited project proposals next year. The Zimbabwe Energy Regulatory Authority seeks to implement competitive bidding processes that promote transparency and reduce costs. This transition addresses problems with speculative applications that often inflate project expenses. Authority officials believe the new approach will attract legitimate investors and lower electricity rates for consumers. The change aligns Zimbabwe's power sector with international standards.

Private companies will gain access to electricity retail markets under recent government policy changes. Licensed operators may supply power directly to specific communities and collect revenue from residents. The regulator develops frameworks to support this retail participation initiative. A Project Support Agreement protects foreign investors and ensures the repatriation of funds for infrastructure payments. These measures aim to increase investment flows while ensuring affordable consumer tariffs.

The authority granted twenty electricity licenses during 2024, with seventeen supporting power generation projects totaling 786 megawatts of capacity. Three additional licenses permitted retail electricity supply operations. Solar photovoltaic investments have increased as companies seek energy security and risk reduction strategies.