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Zambia is in a severe power crisis after water levels at the Kariba Dam dropped. Things have only gotten worse recently. In mid-December, Zambia’s energy minister, Peter Capala, announced that the country would implement a six-hour daily blackout. Also, in January, Zambia Power Corporation updated the load shedding time to 12 hours per day. Given the power emergency, Zambia had no choice but to look for alternative energy sources. So it has now restarted its quest, with the support of the UAE, after being previously disappointed by similar collaborations with China.
Zambia-UAE common development $2 billion solar projects
Zambian President Hakainde Hichilema Say State-owned power company Zesco has signed a deal with United Arab Emirates renewable energy company Masdar to develop a $2 billion solar project.
The two companies will form a joint venture to facilitate investment in renewable energy in Zambia, with the project to start immediately, starting with the phased installation of 500 megawatts (MW). These projects will add 2,000 megawatts of electricity to the country over the next few years.
Zambia has been rationing electricity supply after water levels in Lake Kariba dropped sharply, threatening hydropower, which accounts for more than 75 percent of the country’s electricity output.
Zambia’s solar potential
Zambia is a landlocked country with 2000 to 3000 hours of sunshine per year. The recent drought has led to prolonged power outages and increased energy scarcity across the country due to heavy reliance on hydropower. Zambia’s solar power has the potential to transform the country’s economy, and the government is now investing in it in response to the power crisis. By 2030, the Zambian government wants to increase its power generation capacity to 6,000 megawatts.
March 2019, President Edgar Chagwa Lungu introduce Bangweulu Scaling Solar Plant to Zambia, a 54 MW power plant project aimed at tackling energy poverty in the country, can also help Zambia save a lot of money in the long run. Additionally, while energy from large hydroelectric dams is highly concentrated, smaller solar grids can act as decentralized sources, enabling electricity to reach remote rural communities.
read more: G20-backed Zambia is battling China for funds
Zambia gets help from UAE after China disappointment
Zambia’s debt crisis is well known. In 2020, Zambia will be the first to join default It has missed $17 billion in foreign debt repayments during the pandemic, including $3 billion in dollar-denominated bonds.
China is Lusaka’s largest bilateral lender and Zambia has huge Chinese loan commitments. According to the China-Africa Research Program, Zambia used Chinese loans for more than 69 projects between 2000 and 2018, mainly in the transport and power sectors. According to a report, Lusaka owes Chinese lenders around $6 billion to build mega-projects including airports, highways and dams.
Furthermore, China’s deceitful debt-trap diplomacy and allegations that China attempts to exploit recipient countries’ debts for its own economic, military, or political ends, or even confiscate their assets as a means of repayment, have fueled rising anti-China sentiment in Zambia.Amid these concerns and ballooning Chinese debt, Zambia had to cancel $1.6 billion in investments China loan And stopped many infrastructure projects in response to last year’s debt crisis.
read more: Struggling for 5 years, Zambia decides to get rid of Chinese influence
So after China’s disappointment, Zambia has taken a major step towards strengthening its sustainable energy resources, signing a joint development agreement with the UAE to secure $2 billion in investment.
Frustrated with the West and China, African countries are seeking to diversify their economic cooperation and forge new ties. While African countries continue to rely heavily on China for infrastructure development, Zambia deserves credit for taking bold steps in its own national interest. Zambian President Hakainde Hichilema reiterated the importance of the UAE investment, saying the investment was not a loan but a capital injection, a further sign that the country was in no mood to become a puppet again.
read more: Zimbabwe and Zambia join forces to tackle sub-Saharan Africa’s energy problems
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