CAFCA sets aside US$1m for power project

ROBIN PHIRI
Publicly traded cable manufacturer CAFCA Limited has committed US$1m towards the construction of a 1.18-megawatt solar power plant, in a bold move aimed at slashing energy costs and strengthening its competitive edge against regional rivals.
Speaking to Business Times, CAFCA chief executive officer Vimbai Nyakudya said the project is scheduled to be operational by February next year, with preparatory works already underway.
“We have set aside about US$1m for the project, including the structural changes needed on the roof,” Nyakudya said. “Once complete, the solar system will generate power at about four cents per kilowatt hour compared to the current grid cost of 16.7 cents. This will help us bring our average power procurement cost down to below 10 cents, making us more competitive with regional players such as those in Zambia, who pay below nine cents.”
Nyakudya said the company is currently re-roofing its plant ahead of the solar panel installation, with the contractor expected on site by the end of this month.
The investment is expected to cut CAFCA’s power procurement costs by up to 20%, significantly improving margins and supporting the company’s broader strategy to enhance efficiency and operational resilience amid escalating input costs.
“The solar project will mostly power our operations during the day, and we are also working on ways to manage peak-hour usage in the mornings and evenings,” he said.
CAFCA has also been implementing internal efficiency measures, having improved its power factor from 0.80 to 0.95, thereby minimizing energy losses from motors and transformers.
“This is about ensuring power quality and optimizing productivity,” Nyakudya explained.
Currently, the company produces between 200 and 280 tonnes of cable per month, against an installed capacity of over 450 tonnes — enough to satisfy both local and regional demand. CAFCA exports to Malawi, Mozambique, Rwanda, and Tanzania, where its products remain in demand despite higher transport costs.
However, Nyakudya raised concern over the rise of counterfeit and substandard cables on the local market, warning that the influx threatens not only CAFCA’s business but also the integrity of Zimbabwe’s power infrastructure.
“CAFCA is a key player in Zimbabwe’s industrialization agenda. We have the capacity and the technology. What we now need are the right incentives and protection to allow local industry to thrive,” he said.