Pan-African Energy and Manufacturing Business conglomerate, Amsons Group, has inked a US$600 million renewable power generation agreement in Zambia as part of its ongoing business diversification strategy. The agreement will entail the installation of Zambia 1GW Solar Power Plant.
Amsons Group mainly deals with manufacturing and petroleum products especially in sub-Saharan Africa. Furthermore, just recently, the firm signed a deal to invest in a massive 1 Gigawatt (GW) solar power plant through Africa Power Generation which is a Zambian-registered renewable power generation investment consortium.
Project Factsheet
Developer/Investor: Amsons Group
Execution subsidiary: Africa Power Generation (Zambian-registered renewable power generation investment consortium)
Cost: US$600 million
Significance: One of the largest single Foreign Direct Investments (FDI) in Zambia’s and Sub-Saharan Africa’s power sector.
Expected impact: Creation of sustainable jobs, building local capacity, and contributing to a resilient energy system for homes, schools, and industries.
The Africa Power Generation landmark deal got formalised by Amsons Group Managing Director Mr Edha Nahdi in Lusaka in the presence of Zambia’s President, His Excellency Hakainde Hichilema. Furthermore, this project underscores the commitment of government of Zambia to attracting large-scale private-sector investment to diversify its energy mix. Additionally, the signing ceremony at State House, Lusaka, underscored the project’s critical role in Zambia’s economic and climate resilience strategy.
At the Zambia State House engagement ceremony, President Hichilema hailed Amsons Group as a reputable organisation in the region, with the capacity to invest in such a large project aimed at stabilising the nation’s energy requirements.
Significance of the Zambia 1GW Solar Power Plant Project
“This 1 GW investment is a game-changer. It directly addresses our national crisis by providing reliable, clean, and non-hydro dependent power,” President Hichilema stated.
President Hichilema added: “The sheer scale of this project, facilitated by our government’s commitment to efficiency and transparency, ensures that we are decisively on track to meet, and possibly exceed, our target of adding 1,000 megawatts of new solar power to the grid. Therefore, this means an end to load shedding and a stable foundation for the massive economic growth we are pursuing.”
Additionally, the US$600 million, 1 GW solar power plant is a game-changer for energy resilience and represents one of the largest single Foreign Direct Investments (FDI) in Zambia’s and Sub-Saharan Africa’s power sector. Also, it directly addresses Zambia’s urgent need to move away from its over-reliance on hydro power. Furthermore, recent prolonged droughts, worsened by climate change, have severely impacted water levels at major hydroelectric facilities, leading to persistent electricity deficits and load shedding. Lastly, plans for the development of a $900 million coal-fired power plant got unveiled by Zambia to address the power shortage that the country faced.
