Connect with us

National

High Court upholds Chivayo’s US$22 million damages claim, reinstates Gwanda Solar project

Published

on

BY MARY TARUVINGA

The High Court has with immediate effect reinstated businessman Wicknel Chivayo’s controversial Gwanda solar project ruling that Zimbabwe Power Company (ZPC) was in breach of their contract.

Advertisement

Chivayo, through his company Intratrek Zimbabwe (Pvt) Ltd (Intratrek) had sued the Zimbabwe Power Company (ZPC) US$22 million for defamation and his application was upheld by the courts.He had argued ZPC had tarnished his integrity by getting him arrested on fraud allegations emanating from the named project.

After being cleared by the courts Chivayo sued ZPC last year accusing it of breaching their deal, which he successfully argued was still valid.High Court judge Justice Siyabona Musithu upheld Chivayo’s application in a judgement handed down Wednesday morning before slapping ZPC with costs on a higher scale.

“Resultantly it is ordered that: The procurement contract for the Engineering, Procurement and Construction (EPC Contract) of the 100MW Gwanda Solar Project (ZPC 304/2015) between the plaintiff and the defendant as amended is valid and binding between them.

Advertisement

“Consequent to the declaration of the validity of the EPC Contract, an order for specific performance of the said contract is hereby granted.

“The defendant’s (ZPC) claim in re-convention is hereby dismissed with costs. The defendant shall pay the plaintiff’s costs of suit in the claim in convention.”

The ruling brings to an end the legal dispute that has been between the parties since 2015.

Advertisement

The agreement between ZPC and Intratrek was signed subsequent to a successful tender bid, for the engineering, procurement, and construction of a 1 000MW Gwanda Solar Power Station Project.

Intratrek was awarded as the lowest compliant bidder to specification out of 6 bidders at a cost of US$173 million.

ZPC later sued Chivayo for fraud but he was cleared by the courts.

Advertisement

In his Judgement the judge criticised ZPC for trying tormenting its legal contractor who won the project in an open tender.

The judge showered praises on Chivayo who was the sole witness during the trial.

He said he was consistent and trustworthy.

Advertisement

Alternatively, Intratrek had argued that it should be granted an award of damages in the sum of US$25 000 000 as it had incurred expenses whilst trying to secure funding for the project.

The judge ruled, “The plaintiff maintained that it was required under the contract to secure funding for the entire project through a debt financing arrangement.

“The plaintiff was expected to engage in a robust and expensive process of engaging international banks and project financial institutions. It incurred expenses in the sum of US$3 000 000 from 2013 to 2018.

Advertisement

“Further, the contract itself was of significant value and if it was to be implemented, the plaintiff expected to realise a return on investment of US$22 000 000. As a result of the breach the plaintiff had therefore suffered a loss of profit.” Source NewZimbabwe

Advertisement
Continue Reading
Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

National

Zimbabwe moves to establish tough drug control agency amid rising substance abuse crisis

Published

on

BY NOKUTHABA DLAMINI

As Zimbabwe battles a surge in drug and substance abuse, the government has tabled a new Bill in Parliament seeking to establish a powerful agency to coordinate enforcement, rehabilitation, and prevention programmes across the country.

Advertisement

The National Drug and Substance Abuse Control and Enforcement Agency Bill (H.B. 12, 2025) proposes the creation of a dedicated agency mandated to combat the supply and demand of illicit drugs, provide rehabilitation services, and strengthen coordination between law enforcement and social service institutions.

According to the explanatory memorandum of the Bill, the agency will operate under two main divisions — a Social Services Intervention Division to focus on prevention, treatment and community rehabilitation, and an Enforcement Division to target supply chains, trafficking networks, and related financial crimes.

The legislation describes drug abuse as “a grave internal national security threat” and “a public health crisis” that fuels organised crime, corruption and violence. It notes that drug profits have enabled criminal cartels to “purchase the instrumentalities of crime, including weapons,” and to corrupt both civilian and non-civilian public officials.

Advertisement

Under the new framework, the agency will have powers to:

  • Investigate and arrest individuals involved in drug trafficking and production;
  • Work jointly with the Zimbabwe Republic Police, Zimbabwe Revenue Authority, and Medicines Control Authority of Zimbabwe;
  • Establish checkpoints at ports of entry and exit to intercept harmful substances; and
  • Expand the legal definition of “harmful drugs” to include emerging synthetic substances, in consultation with the Medicines Control Authority of Zimbabwe.

The Social Services Division will lead prevention campaigns, develop demand-reduction programmes, and facilitate the creation of rehabilitation and detoxification centres nationwide. It will also introduce a monitoring system requiring schools, employers, and local authorities to adopt anti-drug awareness and intervention programmes within 90 days of the Act’s commencement.

Each province and district will host offices of the agency to decentralise services and ensure community-level engagement, while traditional leaders will help devise local prevention strategies.

The Bill further empowers the agency to employ prosecutors from the National Prosecuting Authority to handle drug-related cases, signalling a shift toward specialised prosecution of narcotics offences. It also introduces a new, stricter “standard scale of fines” and penalties for drug crimes — higher than those prescribed under existing criminal laws.

Advertisement

In a major development, the proposed law integrates the agency into Zimbabwe’s Money Laundering and Proceeds of Crime Act, allowing it to pursue unexplained wealth orders and seize assets linked to drug cartels.

The Bill stresses rehabilitation and social reintegration as key pillars. It obliges the agency to support affected individuals through psychosocial counselling, vocational training, and community wellness programmes aimed at helping addicts rebuild their lives.

If passed, the National Drug and Substance Abuse Control and Enforcement Agency will replace fragmented anti-drug efforts currently scattered across ministries and law enforcement agencies, creating a central authority to drive national strategy and coordination.

Advertisement

Parliament is expected to debate the Bill in the coming weeks amid growing concern over youth addiction to crystal meth, cough syrups, and other illicit substances that have taken root in both urban and rural communities.

 

Advertisement
Continue Reading

National

Hwange unit 8 breaks down, deepening Zimbabwe’s power supply challenges

Published

on

BY WANDILE TSHUMA 

ZESA Holdings has announced that Hwange Unit 8 has been taken off the national grid following a technical fault, a development expected to worsen Zimbabwe’s persistent electricity shortages.

Advertisement

In a statement released on Monday, the power utility said the unit would be out of service for ten days while restoration work is carried out.

“Hwange Unit 8 has been taken off the grid due to a technical fault. The unit will be out of service for 10 days while restoration work is carried out,” ZESA said.

The company said Hwange Unit 7 remains operational, generating 335 megawatts (MW) to support system stability, while power generation at Kariba South Power Station has been ramped up with “careful management of water allocations” to compensate for the temporary shortfall.

Advertisement

ZESA apologized for the inconvenience and appealed for public understanding as engineers work to restore the unit.

Zimbabwe has faced recurring electricity supply challenges over the past two decades, driven by ageing infrastructure, limited generation capacity, and low water levels at Kariba Dam. While the commissioning of Hwange Units 7 and 8 in 2023 brought some relief, frequent breakdowns have continued to disrupt supply, forcing industries and households to endure prolonged load-shedding.

The latest fault at Hwange comes at a time when power demand is surging across the country, particularly during the hot season when air conditioning and irrigation systems increase pressure on the grid.

Advertisement

Energy experts say the outage highlights the need for greater investment in maintenance, renewable energy, and grid modernization to stabilize Zimbabwe’s power supply in the long term.

 

Advertisement
Continue Reading

National

Tsholotsho to host national commemoration of International Day for Disaster Risk Reduction

Published

on

BY NOKUTHABA DLAMINI

Zimbabwe will on Thursday, this week,  join the rest of the world in commemorating the International Day for Disaster Risk Reduction (IDDR), with national events set to take place at Tshino Primary School in Ward 5, Tsholotsho District, along the Tsholotsho–Sipepa road.

Advertisement

The global day, observed annually, aims to promote a culture of disaster risk awareness and highlight efforts to reduce vulnerability and build resilience in communities.

Speaking to VicFallsLive, Civil Protection Unit Director Nathan Nkomo said this year’s commemoration holds special significance for Tsholotsho, a district that has long struggled with recurrent flooding.

“The whole issue is to reduce, not to increase the occurrence of disasters. And by commemorating, that’s where we share ideas with other people,” Nkomo said.

Advertisement

He noted that Tsholotsho’s selection as the national host was deliberate, following the successful relocation of families who were affected by flooding at the confluence of the Gwai and Shashani rivers.

“It’s not by accident that we are commemorating in Tsholotsho. We have built 305 houses for people who were affected in the Spepa area, and we will be celebrating in style because we have managed to relocate them,” he said.

“Now we no longer hear of people being flooded in Tsholotsho because of that relocation. So, we will be celebrating in style for Tshini and Sawudweni.”

Advertisement

The relocations, carried out under government’s disaster recovery and housing programs, have been hailed as a success story in proactive disaster risk management.

Looking ahead to the cyclone season, Nkomo said funding remains the major challenge in preparedness and response.

“We cannot preempt to say there are challenges yet, but historically, since we’ve dealt with COVID-19 and Cyclone Idai, the issue of funds has always been critical,” he said.

Advertisement

“This year, we are dealing with cyclones at a time when even our development partners have dwindling resources. So, funding will take centre stage in our deliberations, to see how best we can respond with the little we have. The whole idea, when you go to war, is not the question of numbers, but of strategy and how to win.”

The International Day for Disaster Risk Reduction is observed globally every October 13, but Zimbabwe’s national commemorations are being held later this year to align with local preparedness programs and community-based activities.

 

Advertisement

Continue Reading

Trending

Copyright © 2022 VicFallsLive. All rights reserved, powered by Advantage