Zambia Secures $8M for Solar Plant

October 31, 2024 • Estimated Reading Time: 2 minutes

Key Figures & Findings: The African Development Bank (AfDB), via its Sustainable Energy Fund for Africa (SEFA), has provided a concessional loan to support the construction of the Ilute Solar PV Plant, a 25 MW facility in Zambia’s Sesheke District. Serengeti Energy Ltd. and Western Solar Power Ltd. will develop this project under the management of GreenCo Power Services Ltd., which serves as an intermediary off-taker through a 25-year Power Purchase Agreement. This pilot project aligns with Zambia’s goal of increasing renewable energy access and lowering emissions, positioning the country as a potential leader in Southern African clean energy solutions.

Statistics & Insights: The $8 million financing will enable energy output, with GreenCo planning to sell generated electricity on the Southern African Power Pool Day-Ahead Market. The plant will significantly contribute to regional energy needs, providing sustainable power to ZESCO’s open grid access.

Future Implications: By 2025, if the Ilute Plant operates as projected, it could pave the way for similar investments in the region’s clean energy infrastructure. This could reduce reliance on non-renewable energy sources. Future projects may benefit similarly from AfDB and SEFA's commitment to boosting renewable investments in the private sector.