UPND will not let Zesco  trade at a loss – HH

By NATION REPORTER

PRESIDENT Hakainde Hichilema has reiterated Government’s commitment to ensuring that Zesco remains financially viable, stating that the State will not allow the power utility to operate at a loss.

President Hichilema said this during launch of the construction of a 250-megawatt solar power plant and a 150 MW/600 MWh battery energy storage system (BESS) in Chongwe District.

The solar project, to be situated at Kyindu Ranch along Leopards Hill Road, will be constructed by Globeleq in partnership with ZESCO Limited.

President Hichilema said the US$350 million project, is a testament to Zambia’s strong relationship with cooperating partners and vital to enhancing power generation as well as stabilising electricity supply in the country.

President Hichilema said reforms being implemented in the sector were aimed at making electricity generation and supply sustainable while attracting private investment.

“UPND will not let Zesco trade at a loss. Without energy, there will be no maize, no tourists… we can’t process copper without power,” President Hichilema said.

- Advertisement -

The head of State explained that Zambia was setting ambitious targets in energy and mining, including generating over 10, 000 megawatts of electricity and producing three million tonnes of copper, as part of efforts to grow the economy.

He said energy remained a critical driver of economic activity and warned that without reliable electricity supply, key sectors such as agriculture, mining and tourism would suffer.

Mr Hichilema said climate change had negatively affected the country’s power supply, making it necessary for government to invest heavily in alternative energy sources and diversify the energy mix.

“Energy mix is very important. Solar is important…we have moved from 10 megawatts to 70 megawatts,” the head of State said.

Mr Hichilema disclosed that government was exploring major electricity generation projects, including transferring water from Luapula to the Kafue River basin to enhance power generation, while assuring that such interventions would be done responsibly.

“We will invest a lot of money in the Kafue River… moving water from Luapula to Kafue, it will happen,” he said.

President Hichilema also hailed the growing partnership between Zambia and the United Kingdom in the energy sector, describing it as strategic to improving national power security.

“The British-Zambia partnership has been great… thank you for believing in us. It is a strategic alliance,” he said.

And British High Commissioner Rebecca Terzeon said the United Kingdom had contributed £1.2 million through the World Bank to support regional energy security, adding that the relationship between the two countries was evolving into a partnership rather than donor support.

“We are shifting from being a donor to being a partner as evidenced by the energy relationship to enhance energy security,” the envoy said.

Meanwhile, acting Energy Minister Rodney Sikumba said increased investment in power generation was key to economic growth, noting that a 56-megawatt project by an independent power producer would boost supply.

“Energy is one of the key drivers of the economy. Only when there is stable power can the nation succeed economicalhh

ly,” Mr Sikumba said.