Zesco has signed a Power Purchase Agreement (PPA) with Integrated Clean Energy Power Company Ltd (CiEG) to produce 2,400 Megawatts of renewable energy estimated at US$3.5 billion.
CiEG is an investment development and Mergers and Acquisitions (M&A) of international projects arm for China Huadian Corporation, a global energy company and Chinese state-owned enterprise, the 3rd largest electricity power producer in the world.
The pledged US $3.5 billion investment will be rolled out in phases of 600-800MW over a 3-year period in 4 provinces beginning this year with 300mw in Southern Province and 300mw in Central Province.
This sizable Foreign Direct Investment (FDI) into Zambia from China is a testament of the reset and enhanced relations between the two countries for mutual benefit, which dates back to the two founding fathers: Chairman Mao and Dr. Kenneth Kaunda.
The pledged investment comes at the back of the earlier investment of US$2.5 billion in 2,000MW of energy by Masdar from the United Arab Emirates.
This is according to State House Chief Communications Specialist, Clayson Hamasaka.
