Zambia exports power to several of its neighbours, however, only eighteen percent of the Zambian population have access to electricity. There are two major power entities in Zambia. ZESCO (Zambian Electricity Supply Company Ltd.) is the national authority and went up for privatisation in 1999. ZESCO generates power and is responsible for transmission and distribution.
The other power organisation is CAPC (Central African Power Corporation). CAPC is jointly owned by Zambia and Zimbabwe. The two countries share equally the costs and output of the corporation. CAPC exploits the hydro potential of the Kariba complex, which consists of the Kariba North and Kariba South power stations, Kariba dam and any future dams which may be constructed on the Zambezi river. Lake Kariba is the collection point for a vast catchment area spanning several millions of square kilometres. The Upper Catchment extends over the western half of Zambia and into Angola. The Lower Catchment covers a large part of Zimbabwe and is fed by the lake, Cahora Bassa in Mozambique. Lake Kariba itself is about 300 km long and the international boundary between Zambia and Zimbabwe runs down the middle of the lake. CAPC operates the dam and the two Kariba power stations. ZESCO is responsible for bulk sales in Zambia and for the cost of generation at Kafue and Victoria Falls power stations. The Zimbabwe Electricity Supply Authority (ZESA) is responsible for the costs of Bulawayo, Harare, Hwange and Munyati thermal power stations which link into the system.
CAPC operates a transmission system from Kariba connecting into both the Zambian and the Zimbabwe networks. The system consists of 330 kV overhead lines linking Kariba and is paid for by the two national utilities.
Zambia has an installed power capacity of 2500 MW, with 705 MW of this power coming from facilities at Kariba.
The Government has paid K3 billion towards the electrification of the Kaputa district of the country. 121community-based organisations and 9 schools in rural areas of Zambia will be getting BP Solar panels to generate electricity for lighting, radio, television and refrigeration. The panels will be supplied by Apex-BP Solar, a subsidiary of BP France, which has been awarded a contract through its distributor Electrical Maintenance Lusaka Limited (EML) by Zambia Social Investment Fund. Apex-BP Solar will supply, the solar panels, EML will deliver and install the panels and also train their users in various schools and health centres in Zambia. The project will produce a peak power of almost 250 kilowatts (kWp).
Zambia Social Investment Fund, a unit of the Ministry of Finance and National Planning, is managing a development credit agreement signed with the International Development Association (IDA). EML, which is based in Lusaka began its activities in 1964 and focused on electrical contracting services and maintenance. It has expanded over the years and employed at its peak a total staff of 600 employees active in various fields including the manufacture of electrical light fittings, domestic and security lighting, distribution boards and motor control centres. EML has succeeded in the last few years to become one of the major players in the solar industry in Zambia.
Recent power crises in Tanzania and Kenya have opened the way for the construction of a 697 km transmission link from Zambia to Tanzania. The project is being considered by the governments of the three countries and a feasibility study of the project is being undertaken. The total project cost is estimated at US$ 350 million, which will include the linking of a 330 kV line from Pensulo in Zambia to Mbeya in Tanzania as well as the installation of fibre optic telecommunications cables at transmission towers.
Britain has reportedly agreed to provide 200 000 pounds to fund part of the consultation services for the project. The Private Advisory Infrastructure Facility of the World Bank will fund the remainder of the total project cost. The project will provide Kenya and Tanzania with access to the Southern African Power Pool (SAPP). Cost of the imported power will, however, make electricity prohibitively expensive for more than 50 % of Tanzania’s population.
The Zambia Electricity Supply Corporation has signed a contract with Electricite de France to rehabilitate the Victoria Falls hydroelectric power generation plant. This project, together with others underway in Zambia and the region, will significantly increase the electricity generating capacity of the area.
Zesco’s Power Rehabilitation Project requires a further US$ 36 million of finance to meet the original US$ 210 million budget. The outstanding amount is as a result of the 50 % fall of the Kwacha against the US Dollar since January 2000. The project was costed in US Dollars, however some financial commitments were made in Rand and Euros. Donors have been approached with a report detailing the requirements for additional funding. A US$ 13.5 million Siemens project to rehabilitate the power distribution center in Lusaka has also been affected by the changes in currency strength.
Zambia’s Rural Electrification Program aims to electrify 50 % of rural areas within five years. The project, thought to be worth US$ 200 million, is conditional upon a number of criteria specified by the World Bank.
The Government has also allocated US$ 180 million to the development of a number of small hydro plants in the east, north-west and west of the country.
A 200 km, 123 kV transmission line that will provide electricity to the Western Province of Zambia and parts of Namibia is being considered by the Zambian Government. The US$ 11 million project will enable power from Livingstone on the Victoria Falls to be exported to Namibia. The project will be financed by the African Development Bank (US$ 6.5 million) and the Development Bank of Southern Africa (US$ 4.5 million).
