- 900 MW diversified power mix to reduce reliance on hydropower.
- Investment supports target of 10,000 MW installed capacity by 2031.
- Positions Zambia as a future regional electricity exporter.
Zambia has secured a US$1.5 billion investment in its energy sector following an agreement between the Zambia Development Agency and China Machinery Engineering Corporation.
The agreement will deliver a 900 MW power portfolio comprising three 300 MW projects across solar, wind, and coal based thermal generation. The projects are expected to be developed concurrently to accelerate delivery timelines and grid integration.
Zambia Development Agency Director General Albert Halwampa described the investment as a key milestone in Zambia’s plan to increase installed generation capacity to 10,000 MW by 2031. He noted that the initiative aligns with broader efforts to diversify the national energy mix and reduce dependence on climate sensitive hydropower, which has been increasingly affected by drought conditions.
The project is expected to strengthen energy security by mitigating hydrological risks while supporting Zambia’s ambition to become a net exporter of electricity to regional markets with growing demand. It also signals rising investor confidence in the country’s economic reform agenda and improving policy environment.
In addition, the expanded and more reliable power supply is set to underpin industrial growth by providing the stable energy base required for manufacturing and other energy intensive sectors.
Ivan Zyuulu said the agreement reflects deepening economic cooperation between Zambia and China and highlights continued international interest in Zambia’s energy sector.
Technical teams from China Machinery Engineering Corporation are scheduled to visit Zambia in June 2026 to begin feasibility studies and onsite assessments. The company has indicated it has the financial and technical capacity to execute all three projects simultaneously.
The Zambia Development Agency, in collaboration with the Zambian Embassy in Beijing, is currently undertaking an investment promotion campaign in China aimed at attracting large scale infrastructure partnerships and positioning Zambia as a regional energy hub.
Author: Bryan Groenendaal
