European Union and Zambia sign €7 million (ZMW 205.88 million) funding to boost electricity access in Lusaka’s low-income high-density neighbourhoods

15.02.2024
Lusaka
Strategic Communications

On 14 February 2024, EU Ambassador H.E. Karolina Stasiak on behalf of the Delegation of the European Union to the Republic of Zambia and COMESA and Eng. Victor B. Mapani, ZESCO Limited Managing Director signed a ZMW 205.88 Million (€7 million) grant to finance The Lusaka Transmission, Distribution and Rehabilitation Project (LTDRP) – Low Voltage Distribution Network. This grant will cover the ‘Last Mile’ - 63,000 subsidised individual connections for households, public/social amenities and eligible Micro Small Enterprises. The project will benefit an estimated 300,000 people in low-income high-density townships of Lusaka City.

The project aims to increase access to clean, reliable and affordable energy for the peri-urban high-density low-income population of Lusaka city. It will rehabilitate, strengthen and expand the existing overloaded low voltage distribution network to meet the increased service demand. With this grant, the European Union supports the efforts of Government to increase access to reliable, affordable and clean energy (electricity) necessary to boost economic productivity, human development and improve livelihood in the beneficiary communities.

Background

The Lusaka Transmission, Distribution and Rehabilitation Project (LTDRP) - is an EU-Zambia Global Gateway funded energy project, launched in 2016 and implemented by ZESCO Limited. Its focus is to upgrade and rehabilitate electricity distribution network in Mtendere East, Chainda, Kamanga/Nkoloma, Ngwerere, Mandevu, Garden Township, John Howard, and Chawama neighbourhoods. Upgrading the voltage distribution network will increase capacity and provide more residents with access to reliable electricity services. The cumulative total funds committed by the EU to support this project is a grant of EUR 65 Million.

The Last Mile Connection Fee Subsidy Scheme is a component of the overall LTDRP which will enable residents to access individual connections to households, public/social amenities and eligible MSEs at a subsidised rate. The project promotes productive uses of electricity for women and Micro and Small Enterprises (MSEs) by facilitating access to financing and providing training in business management and entrepreneurship. This project improves the quality of life, offers reliable and affordable energy services, and helps residents, mostly women, engage in economic activity.

Overall, the grant aims to facilitate 63,000 new individual connections, benefiting approximately 300,000 people. It will contribute towards achieving SDG 1 – Reduced poverty, SDG 5 – Access to clean, reliable & affordable energy and SDG 7 – Reduced Inequality. This grant underscores the on-going EU-Zambia cooperation and commitment to inclusive and sustainable energy solutions. It is a significant step towards promoting sustainable development and creating a better future for all.

Contacts for more information:

Delegation of the European Union to the Republic of Zambia & COMESA, delegation-zambia@eeas.europa.eu, Political, Press and Information Section Tel. +260 97 125 98 25

Delegation of the European Union to the Republic of Zambia & COMESA, delegation-zambia@eeas.europa.eu, Political, Press and Information Section Tel. +260 97 125 98 25