HARARE City Council has unveiled ambitious plans to overhaul its water reticulation system at an estimated cost of over US$1,5 billion, with efforts underway to mobilise US$1,2 billion through government and private sector partnerships, the Zimbabwe Independent can report.
A major component of the project involves Helcraw Electrical Projects, a private firm chaired by Zanu PF legislator Farai Jere, which has been awarded a US$138 million contract in partnership with Chinese-based Hangzhou Laison Technology.
To recover its investment, Helcraw is proposing to charge Harare’s more than 350 000 ratepayers US$5,50 per month. This does not include the amounts that the Harare City Council might levy its residents to raise the funds required for its part of the project.
The financing model, seen by the Independent, outlines a public-private partnership (PPP) framework where the government and private players will collaborate on critical infrastructure upgrades.
An estimated US$164 million is earmarked for replacing 2 580 kilometres of aging water pipes as part of efforts to rehabilitate the distribution network and expand reticulation systems in Waterfalls, Caledonia, and "newly-incorporated areas".
Additional costs include US$5 million for valve and chamber replacements and US$1,8 million for reservoir rehabilitation, all aimed at improving water access.
The financing model also factors in US$6 million for procuring essential equipment such as dewatering pumps, cranes, jet machines, vehicles, excavators, backhoe loaders, and lowbeds.
Further investments include US$190 million to establish new reticulation infrastructure in Mt. Hampden and Caledonia, US$380 million for wastewater treatment plants in Lyndhurst and Crowborough, and US$20 million for constructing a 20MW solar plant designed to reduce environmental pollution. The total cost for wastewater infrastructure upgrades alone is estimated at US$930 million. The project aims to increase from 450 million litres daily water production to 520 million litres, requiring US$40,99 million.
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Despite the magnitude of the proposed projects, key questions surrounding costs, financing mechanisms, and transparency remain unanswered.
Harare Mayor Jacob Mafume declined to provide details, stating only that he was “in a conference” when approached for comment on how the municipality intended to mobilise the US$40,9 million.
The Ministry of Local Government and Public Works did not respond to inquiries regarding how private players for the PPPs were selected.
The documents indicate that the government will directly mobilise US$70,9 million, excluding its contribution to the PPPs, while Harare City Council will be responsible for raising US$40,9 million. This includes US$30 million for replacing 40 kilometres of pipeline and US$800 000 for upgrading chlorine dosing facilities at the Morton Jaffray Water Treatment Plant to improve water quality amid allegations that the city was supplying untreated water to its residents.
A source with knowledge of the project raised concerns over the lack of consultation in developing the financing model, warning that the costs would ultimately burden ratepayers.
The source also alleged that Helcraw Electrical Projects was awarded its contract without a competitive tender process, raising red flags about potential overpricing and lack of transparency.
“In the case of Helcraw, the firm was identified without going to tender. What this means is that the cost of implementing this project will be passed down to the residents,” the source said on condition of anonymity.
“This also applies to the proposed PPPs between the government and private players. It is not clear how funds for those projects will be mobilised.
“From the details available so far, it is clear that Harare’s residents will be expected to finance these opaque and overpriced projects.”
The proposed lucrative projects come at a time when President Emmerson Mnangagwa has set up a commission of inquiry to probe the financial affairs of Harare City Council, amid allegations of rampant corruption.
