ZESCO secures $50 million power imports deal with GreenCo, FQM

ZESCO has finalised a significant agreement to secure emergency power imports from South Africa, valued at approximately US$50 million.

This move, backed by financial support from GreenCo and First Quantum Minerals (FQM), comes at a critical time as Zambia grapples with ongoing electricity shortages.

The deal was announced during the Presidential Delivery Unit Forum in Lusaka, where ZESCO, GreenCo, and FQM signed a landmark agreement to address the country’s energy crisis.

Over the next four months, ZESCO would import an initial 125 megawatts (MW) of power, with the potential to scale up to 250MW, depending on demand.

GreenCo and FQM would fully finance the imports, helping stabilise Zambia’s national grid.

Of the initial 125MW, 85MW would be supplied to the national grid, benefiting households, hospitals and businesses.

The remaining 40MW would be allocated to FQM’s mining operations, ensuring continued productivity at the company’s facilities.

“This partnership shows the power of public and private sector collaboration in securing vital energy supplies for industry and households alike,” said Wezi Gondwe, GreenCo’s Head of Business Development and Executive Director.

“By supporting ZESCO, we are ensuring stable power for Zambian industries and residents and helping to mitigate the country’s ongoing energy crisis,” said FQM Country Director, Anthony Mukutuma.

ZESCO’s Managing Director, Engineer Victor Mapani, expressed gratitude for the support provided by Eskom, GreenCo, and FQM.

He also acknowledged the cooperation of the Southern African Power Pool (SAPP) and neighboring utilities in ensuring regional energy stability.

“We thank Eskom for their critical support during this challenging period, and we also express gratitude to the Southern African Power Pool and neighboring utilities for their cooperation in securing regional energy stability,” Mapani said.

He added that ZESCO remained committed to gradually returning the electricity borrowed from GreenCo once hydropower capacity was restored, which was expected by 2025.

This tripartite agreement marked a significant step toward addressing Zambia’s energy challenges, providing immediate relief to both industrial and residential users, according to a statement.

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