Jeffrey Gogo Business Correspondent
GOVERNMENT will early next year issue a $300 million bond to help fund and speed up countrywide dam construction, a key defence against climate change and global warming, The Herald Business has established.

Environment, Water and Climate minister Saviour Kasukuwere yesterday announced an ambitious plan to set up a new local firm called ZINWA Dam Construction and Design Company to administer the funds, design and build dams in Zimbabwe.

And while the rate of interest on the bond was yet to be determined, Mr Kasukuwere said he was keen to dispense with the costly business of hiring expatriate companies to do work that can be expertly done here, at a fraction of the cost. That counter measure is ZINWA Dam Construction and Design Company, which will mainly draw or build on the expertise and skill from the existing human resources base at the country’s water authority, ZINWA.

“We are spending an enormous amount of money paying foreigners to do things that we can. Zimbabwe has been building dams for a number of years. We have the experience. We have the engineers and the technicians to do this kind of work.

“In any case, if you go to most of the (dam) projects under construction today, there are more locals than foreigners. Why can’t we do this on our own?” Mr Kasukuwere said yesterday.

Mr Kasukuwere has since tasked the Zimbabwe National Water Authority to come up with a strategy and action plan for the dam company venture.

Preliminary documents are already in place, he said, adding that funds from the bond will be used, among other things, to purchase key equipment such as earthmoving machinery. At least $50 million will be enough to get the dam company fully operational ahead of its expected launch before March-end 2015, according to ZINWA board chairman Mr Michael Ndoro.

Of the set-up costs, some unnamed Indian partners have already committed to releasing $18 million, he said, while engagements for further funding have commenced with financiers from Korea and Japan.

“We believe the company will accelerate the construction of key strategic dams in Zimbabwe. Currently, we have 10 projects which are at different levels of completion that are being executed by foreigners, but you will find out that the design engineer is Zimbabwean, the resident engineer is Zimbabwean, the project engineer is Zimbabwean.

“So, as ZINWA we have the capacity to take on big dam construction projects in the country,” Mr Ndoro said in an interview yesterday.

ZINWA Dam Construction and Design Company is expected to cut dam construction costs by at least 60 percent. For instance, Kunzvi Dam has been quoted over $400 million, but Mr Ndoro estimated the new local company will be able to build the same dam for just $150 million.