Zimbabwe, Zambia unlocks potential of energy sector

Leonard Ncube in Victoria Falls

DELEGATES have started gathering for the inaugural Zimbabwe-Zambia (Zim-Zam) Energy Projects Summit in Victoria Falls to provide an opportunity for both countries to unlock value in the sector through cooperation with partners and financiers.

More than 300 local and foreign delegates are drawn from a cross-section of the energy sector, financial institutions, regulators and Government departments.

Vice President Dr Constantino Chiwenga is set to open the meeting later today.

Running under the theme ‘Powering Zimbabwe and Zambia’s Sustainable Energy Future: Unlocking Opportunities in Renewables, Grid Modernisation and Energy Access’, the three-day conference seeks to highlight challenges and opportunities in the energy sector.

The gathering comes at a time when Zimbabwe and Zambia are strategically prioritising renewable energy such as solar and wind to become resilient against climate-related disruption.

Our Reporter Leonard Ncube is in Victoria Falls and we will be giving you live updates on the event.

Energy Projects Summit kick off

Proceedings have started at the inaugural Zimbabwe-Zambia (Zim-Zam) Energy Projects Summit here, with the first panel unpacking blended financing as the catalyst to universal access to electricity for all.
Mr Paul van Aalst, Team Leader for GET Invest Finance Catalyst is the moderator for the panel that includes:

 Ms Felister Makumbinde, the acting Chief Executive Officer for the Rural Electrification Agency (REA) in Zimbabwe;

 Mr Alex Mbumba, director for Engineering Services, Rural Electrification Authority (REA) of Zambia;

 Mr Isaiah Nyakusendwa, chairman of Renewable Energy Association of Zimbabwe (REAZ);

 Mr Joseph Mutale, chairpersn of Zambia Renewable Energy Association (ZARENA);

 Mr Collin Gumbu, Policy and Advocacy Lead, GOGLA;

 Mr Richard Harrison the Lead, Zambia Mini-Grid Initiative, Power and Climate Team, Rockefeller Foundation.

The session seeks to unpack financing models and opportunities for the energy sector in the two countries.

In her opening remark, Ms Makumbinde said the Government needs private sector involvement to address energy challenges.

“We need to pursue the blended finance model in rural areas. Government cannot electrify all rural areas alone, hence the need for blended financing,” she said.

Mr Mutale said: “We need billions of dollars to ensure universal access by 2030 for both on-grid and off-grid projects. This is a huge figure.”

He said there is need for a procurement framework that ensures a transparent and well-structured process.

‘Off-grid solar key to bridging power deficit’

Speaking in a panel discussion focusing on blended financing at the Zim-Zam Energy Projects Summit in Victoria Falls, Global Off-Grid Lighting Association (GOGLA) Policy and Advocacy Lead, Mr Collin Gumbu said the off-grid solar sector is key to connecting the 675 million people who are not connected to power across the globe.

“In Zimbabwe, 38 percent of people do not have access to electricity while in Zambia connectivity stands at 56 percent. The off-grid solar sector has enough capacity to bridge the gap. It’s affordable and scalable and can be depended upon,” said Mr Gumbu.

He said between now and 2030, off-grid solar is expected to give 400 million people access to electricity.

“We expect that off-grid solar can electrify up to 700 000 schools, 50 000 healthcare centres across the globe and 40 million farms and 37 million SMEs. That shows the big potential of solar.

The Zimbabwe Energy Regulatory Authority is hosting the event on behalf of Government.

Regional integration key

Zimbabwe and Zambia need to enhance collaboration with other African countries to boost sufficiency in the energy sector.

Speaking in a panel discussion focusing on grid expansion, liberalisation and security, some energy experts said recent record-breaking droughts in eastern and southern Africa are forcing power utilities to plan around the probability of dams running dry more regularly over the coming years.

The moderator for the session was Mr Mulenga Chanda, who is Country Director for Namene Solar.

Speakers are:

 Mr Stephen Dihwa, executive director of Southern African Power Pool (SAPP),

 Mr Abel Gurupira, acting managing director, Zimbabwe Electricity Transmission and Distribution Company (ZETDC),

 Dr Snowy Khoza, non-executive senior advisor for Global Energy Alliance for People and Planet (GEAPP),

 Mr Mohamedain Seif Elnasr, chief executive officer of the Regional Association of Energy Regulators for Eastern and Southern Africa (RAERESA) of the Common Market for Eastern & Southern Africa (COMESA),

 Mr Farai Kanonda, regional sector manager, African Development Bank (AfDB),

 Mr Norman Moyo, chief executive officer of GridAfrica.

The speakers said regional infrastructure will play a critical role in countering the impact and called for urgent grid-infrastructure investment.

They also gave an update on the ZiZaBoNa interconnector project linking Zimbabwe, Zambia, Botswana and Namibia.

Dr Khoza said institutions such as the AfDB should contribute through Government support, giving technical assistance and advice.

“Multi-laterals have preferred creditor status and lender on record capacity to be able to capitalise this for the private sector’s sake.

Multilaterals have long-standing relationships with Governments and certain companies and it’s important to use these relationships,” she said.

Mr Dihwa said the market should be transparent and credible.

Energy Ministers tackle role of policy making in energy sector

ENERGY and Power Development Minister Edgar Moyo and his Zambian counterpart, Makozo Chikote have taken to the podium to lead a panel discussion focusing on the role of policy-making in the energy sector.

Zimbabwe and Zambia, with largely similar energy policies, are holding the inaugural Zimbabwe-Zambia (Zim-Zam) Energy Projects Summit in Victoria Falls.

With both governments making innovative structural changes to make energy projects more bankable, Zimbabwe and Zambia are attracting private investments into solar, geothermal, wind, as well as the more traditional hydro projects, thereby diversifying their energy mix.

The moderator for the session is Dr Snowy Khoza, the non-executive senior advisor at the Global Energy Alliance for People and Planet (GEAPP) and non-executive director for Gridworks Development Partners.

Speakers joining the two ministers are:

 Mr Jobst von Kirchmann, Ambassador of the European Union to Zimbabwe,

 Mr John Humphrey, Trade Commissioner for Africa in UK,

 Ms Rentia van Tonder, Head Power, Standard Bank and

 Mr Kalaluka Itwi, Chief Financial Officer for National Commercial Bank (ZANACO).

Minister Moyo said there are investment opportunities in Zimbabwe’s energy sector. He said the country has created a conducive environment through a cocktail of legislation, including the:

 National Energy Policy,

 Renewable Energy Policy with a compendium of incentives,

 Biofuels Policy,

 National Energy Efficiency Policy,

 Rural Electrification Fund Act, among others.

“There are incentives for those who want to invest or have partnerships with us and we have tax holidays for projects, duty-free importation of capital goods for energy projects, prescribed asset status to allow access to funding, and priority dispatch of power,” said Minister Moyo.

His Zambia counterpart, Minister Chikote said there is need to look at policies that address emerging challenges.

“Climate change is real, hence as governments we need to start re-looking at the policies that drive sufficient reliable sources of energy. Governments have to see what kind of policies to put in place to attract the private sector,” he said.

Minister Chikote urged power utilities to run like profit-making businesses.

Ambassador Kirchmann encouraged countries to create conducive environments for investment.

He said the EU has funds that are accessible through the Global Gateway Initiative, adding that the EU wishes to work with Zimbabwe on many projects.

“Financing is key and as EU we stand ready to help the private sector whenever we can to make the energy sector better. The private sector is the key player in all this and governments can avail the opportunities,” he said.

Zimbabwe is hosting the summit in partnership with Energy Net Limited, with Zera as the sponsor.

The theme is ‘Powering Zimbabwe and Zambia’s Sustainable Energy Future: Unlocking Opportunities in Renewables, Grid Modernisation and Energy Access.’

Zimbabwe moving away from single energy source

Mukudzei Chingwere in Victoria Falls

Zimbabwe is currently developing an integrated energy resource plan that will identify energy resources and chart an optimal development path, with a balanced energy mix that reduces dependence on a single source.

The plan was revealed by Vice President Dr Constantino Chiwenga when he of ficially opened the inaugural Zimbabwe-Zambia (Zim-Zam) Energy Projects Summit in Victoria Falls on Monday afternoon.

He said the summit presents a unique opportunity to build on the progress already made between the two countries.

“Together, we can create a model of regional cooperation that can serve as a beacon for others, demonstrating how to enhance energy resilience, promote sustainability, and accelerate industrial growth,” said VP Chiwenga.

“In that regard, I am pleased to share that Zimbabwe is currently developing an integrated energy resource plan that will identify our energy resources and chart an optimal development path, with a balanced energy mix that reduces dependence on a single source.

“Infrastructure development should also support industrialisation. Both Zimbabwe and Zambia are home to large, energy-intensive industries, particularly in mining and agriculture.

“Ensuring that these sectors have access to reliable and affordable energy will help stimulate economic growth, create jobs, and boost our regional competitiveness,” said VP Chiwenga.

He noted that both countries are actively seeking investors for major projects such as the Batoka Gorge and Devil’s Gorge hydroelectric stations, as part of efforts to strengthen energy resilience.

To achieve this, VP Chiwenga said Zimbabwe must create an environment that encourages both public and private sector participation in energy projects.

“Attracting foreign investment is not just about creating a favourable climate for investors, it is also about strengthening local industries, generating jobs, and ensuring that the benefits of these projects remain within our communities,” he said.

“Through public-private partnerships such as Build-Operate-Transfer, Build-Own-Operate-Transfer and Repair-Operate-Transfer, we can leverage international expertise while simultaneously empowering our local industries to take an active role in the growth and development of the energy sector.”

Zesa chairman calls for special laws

Leonard Ncube

Zimbabwe Electricity Supply Authority (Zesa) Holdings executive chairman Dr Sydney Gata has called for the crafting of laws that support investments in Zimbabwe and Zambia’s energy sector.

He was speaking in a panel discussion at the inaugural Zimbabwe-Zambia (Zim-Zam) Energy Projects Summit that is currently underway in Victoria Falls.

“We need to pass Acts of Parliament, we need special laws to support investment so that we achieve regional integration,” he said.

Dr Gata also said the Batoka Gorge Hydro-Electric Power Project, among others, has been delayed due to a lack of exhaustive feasibility studies.

The conference is running around the theme ‘Powering Zimbabwe and Zambia’s Sustainable Energy Future: Unlocking Opportunities in Renewables, Grid Modernisation and Energy Access.’