Zambia Plans to Develop 100 MW of Solar Projects

Under the REFiT strategy, Zambia aims to feed 200 MW of renewable energy into the grid within 3-5 years

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Keeping in view the constraints faced by Zambia in the energy sector, and to ensure sustainable and climate-friendly energy sector development, the government of the Republic of Zambia recently launched the Renewable Energy Feed-in-Tariff (REFiT) strategy.

The REFiT strategy provides a framework for deploying small and medium-sized renewable energy projects of up to 20 MW with private sector involvement. The objective is to bring 200 MW of renewable energy onto the grid within the next three to five years, divided into 100 MW solar photovoltaic (PV) and 100 MW small hydropower.

KfW has designed the Global Energy Transfer Feed-in Tariffs” (GETFiT) Zambia program to assist the Government of Zambia in the implementation of the REFiT strategy. A total 100 MW solar PV is to be procured through a competitive two-stage auction process. In support of the development and implementation of these projects, the Green Climate Fund (GCF) recently approved a co-finance funding proposal in collaboration with the African Development Bank (AfDB) an Accredited Entity (AE) of the GCF – Zambia Renewable Energy Financing Framework.

A technical assistance facility of $4 million is provided to develop the ecosystem and value chain for renewable energy-based electrification in Zambia. This support will assist the public sector institutions in creating an enabling environment for private investments in the mini-grid and off-grid sector; and build the capacity of selected local financial institutions for their enhanced understanding on renewable energy and infrastructure financing, renewable energy project screening, due diligence, and monitoring.

The AfDB has invited expression of interest (EoI) from consultants to indicate their interest for the role of the program coordinator for the Zambia Renewable Energy Financing Framework. The deadline for EoI submission is August 8, 2018.

The consultant will be a focal person for the framework for all GETFiT program-related activities and events in Zambia. The consultant will regularly liaise with the GRZ, GETFiT Zambia program secretariat, project developers, financial institutions (prospective debt co-financers) and other stakeholders to ensure smooth arrangement and execution of the AfDB financing envelope for GETFiT projects.

Previously, the International Financial Corporation (IFC), a member of the World Bank Group, and the government of Canada joined hands to support Zambia with $25 million in financial aid for clean and affordable energy.

Mercom previously reported that Sterling & Wilson, a global solar engineering, procurement, and construction (EPC) company is providing EPC services for the construction of Zambia’s first utility-scale solar project of capacity 54 MW.

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