African Development Bank Powers Up Zambia with $8 Million Loan for 25 MVW Solar Plant

The African Development Bank Group’s Sustainable Energy Fund for Africa (SEFA) has approved an $8 million loan to support the development of a 25 MW solar PV plant in Zambia. The project, located in the Copperbelt Province, will be developed by Upepo Energy Zambia Limited, a Zambian-registered Special Purpose Vehicle established by Upepo Technology Limited and Upepo Zambia Limited.

The solar plant is expected to enhance access to clean energy and diversify Zambia’s energy mix, which is currently heavily reliant on hydropower. The SEFA loan will finance the project’s development phase activities, including technical feasibility studies, legal due diligence, environmental and social impact assessments, and financial advisory services.

The project aligns with Zambia’s Integrated Resource Plan and the Vision 2030 Strategy, which aim to diversify the country’s energy mix and increase renewable energy deployment to mitigate climate change effects and boost electricity generation capacity.

The 25 MW solar PV plant is expected to generate clean energy to power over 20,000 households, and avoid 45,000 tons of C02 emissions annually.

The African Development Bank Group (AfDB) is a multilateral development finance institution, providing finances support to African governments and private companies investing in the regional member countries. It is headquartered in Abidjan, Ivory Coast.

The AfDB is made up of three entities that include: The African Development Fund, the African Development Bank and the Nigeria Trust Fund. Its mission is to fight poverty and improve living conditions on the continent through promoting the investment of public and private capital in projects and programs that are likely to contribute to the economic and social development of the region