Intratrek Zimbabwe, which is entangled in contractual dispute with Zimbabwe Power Company (ZPC) over the Gwanda solar plant, has filed submissions to the High Court seeking an order compelling ZPC to allow it to fulfill terms of the project agreement or be paid $25 million damages for breach of contract.

This comes after a dispute arose regarding fulfilment of terms of the contract, including stage-based payments due for part of work it has done, with the State power utility, however, claiming Intratrek failed to implement the 100 megawatt Gwanda solar project within agreed timeframes. Intratrek disputes this.

The firm claims it had fictionally fulfilled terms of the contract and that challenges that delayed project implementation as originally envisaged, were caused by ZPC, which also allegedly frustrated alternative efforts to expedite the power project.

The company, which partnered multi-billion dollar asset firm and Shanghai Stock Exchange listed CHiNT Electric for the Gwanda project, submitted that it was clear from the outset ZPC had no intention to implement the contract in good faith, as demonstrated by its failure to prove what it had done to facilitate project implementation.

Apart from refusing to make further payments for the works Intratrek has done on the Gwanda solar project site, other than advance payments it made earlier, ZPC has allegedly threatened to cancel the contract citing delayed implementation.

In its heads of arguments filed before the High Court last month under case 8159 /2018, Intratrek said ZPC was now seeking to set up a breach of contract scenario between the parties to avoid making payments, which it said were now due to it. Intratrek wants ZPC held to its bargain and perform its part or alternatively pay damages ($25m). The matter is likely to be set for hearing on November 16, 2018.

Source: The Herald