In order to address the power deficit situation in Zambia, MDH South Africa will build the 235 MW Ndevu Gorge hydropower project on the Luangwa river in the eastern province of Zambia. The company has submitted a proposal to the Zambian authorities for the $1.26 billion hydropower project that involves the construction of a dam along with a 235 MW station. Feasibility studies will commence once the approval is received. Zambia, which produces about 2,600 MW power mostly from hydropower, is facing-power deficit of about 600 MW due to low rainfall. South Africa-based electricity supply company Eskom has signed a three-year power supply agreement with the Botswana Power Corporation (BPC) and a five-year power sales agreement with the Namibian national power utility NamPower. The move is aimed at increasing electricity exports to South Africa’s neighbouring states and to tackle excess generation aggregating 4,000 MW. Eskom is currently exploring a number of strategic transmission projects to further strengthen the interconnection with BPC and other interested Southern African Power Pool members.