Active Development AidData Chinese Aid

Chinese Government pledges to finance the Hlotse Multi-Purpose Dam Construction Project

Funder	Unspecified Chinese Government Institution
Recipient Organization	Government of Lesotho
Country	Lesotho
Start Date	Jan 01, 2019
End Date	Mar 31, 2027
Duration	3,011 days
Number of Grantees	1
Roles	Recipient
Data Source	AidData Chinese Aid
Grant ID	`55895`

Grant Description

Beginning in March 2018, the Chinese Embassy in Lesotho began reporting on a ‘Chinese-aided’ project to build the Hlotse Multi-Purpose Dam on the Hlotse River in Leribe district.

The purpose of the project is to provide irrigation, water, and power to Maputsoe, Hlotse, Butha-Buthe, Mafeteng, Mohale’s Hoek, and the Republic of Botswana. However, AidData has not identified any evidence of a financing agreement ever being finalized.

A World Bank report from April 2019 (p. 63) says Hlotse Dam was proposed to an ‘external funder.’ Lesotho’s Ministry of Water reported that it was making progress on the project in 2018.

According to a 2018 Budget Speech by Lesotho’s Ministry of Finance, a feasibility study for this project was planned for April 2018. However, as of May 15, 2019, the feasibility study had not yet been undertaken because of a lack of funding.

📋 Staff Comments

1. The Chinese project title is 赫洛泽综合水利工程. This project is also known as the Holtse comprehensive water conservancy project or Hlotse multi-purpose hydropower complex project.

📚 Sources & References

The Chinese Embassy and Lesotho Government held Signing Ceremony of the Agreement on Economic and Technical Cooperation between the Government of the People's Republic of China and the Government of the Kingdom of Lesotho
Move Forward China-Lesotho Cooperation With FOCAC Beijing Summit
Why the Chinese are winning tenders
驻莱索托使馆与莱政府举办经济技术合作协定签署仪式
Lesotho renews agreement with China
State of Water Resources Report
PM OUTLINES GOVERNMENT ACHIEVEMENTS
PROJECT APPRAISAL DOCUMENT ON A PROPOSED CREDIT IN THE AMOUNT OF EURO 26.3 MILLION (US$30 MILLION EQUIVALENT) AND A PROPOSED SCALE UP FACILITY CREDIT IN THE AMOUNT OF EURO 42.1 MILLION (US$48 MILLION EQUIVALENT) TO THE KINGDOM OF LESOTHO FOR A LESOTHO LOWLANDS WATER DEVELOPMENT PROJECT – PHASE II
Kabi vows to end Hlotse water woes
CHINESE EMBASSY HANDS-OVER STATE HOUSE, 15 MAY 2019 COMPLETE HANSARD
Budget Speech 2018, 2019/2020 Budget Strategy Paper
M1, 8 Billion Road Project Leaves Sour Taste In Locals’ Mouths Loan applications and disbursements are still being received and processed as the projects continue to evolve. Ongoing monitoring and evaluation are in place to ensure project continuity.