Economy

Govt launches electricity initiative, vows crackdown on alleged cartels frustrating investments in energy sector

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The Zambian government has officially launched the Electricity Open Access framework, pledging to dismantle perceived cartels and cut bureaucratic delays in the issuance of energy sector licenses.

Energy Minister, Makozo Chikote, said the initiative aimed to create an efficient, competitive, and transparent electricity market that encouraged investment in diverse energy sources.

Speaking at the launch in Lusaka on Friday, Chikote assured that the government would closely monitor the framework’s implementation to ensure it aligned with sector aspirations.

“This initiative is in line with the Electricity Act No. 11 of 2019 and the Energy Regulation Act No. 12 of 2019,” Chikote said.

He warned against internal resistance within the ministry, vowing to crack down on individuals hindering progress.

“I know my ministry has technocrats who often tell me how processes should be done, but it’s time to get things moving. We will also deal with mafias in the ministry—I do not want mafias because they delay processes,” Chikote stated.

The minister stated that stakeholders must understand their roles and the necessary procedures for accessing transmission and distribution networks to make the framework effective.

To accelerate applications for Electricity Open Access, Chikote announced the development of an online application system.

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“The government hopes this intervention will promote transparency and ensure fair access to transmission and distribution networks for all,” he said.

Meanwhile, Association of Power Companies president, Sylvester Hibajene, urged the government to address bottlenecks in the energy sector to ensure the framework’s success.

Hibajene stated the need for transparency and predictability in the system to encourage further investment.

Zambia enacted the Electricity Open Access Regulations 2024 to tackle energy challenges and attract investment.

The framework is designed to empower independent power producers (IPPs) to generate and sell electricity directly to consumers, bypassing ZESCO.

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