Government implements emergency measures to alleviate load shedding crisis in Zambia | Part II

By Cindy Sipula

The MakanDay Centre for Investigative Journalism two-part investigation into how Global Warming throttles power transition in Zambia was made possible with the support of the Pulitzer Centre.

The Energy Regulation Board (ERB) recently approved ZESCO’s application for emergency tariffs aimed at raising US$15 million monthly from retail customers. This revenue will contribute to importing 788 MW of power to alleviate the ongoing load shedding.

ZESCO reports a current power deficit of 1,300 MW against its installed capacity of 3,356.6 MW. Manufacturers and energy experts have welcomed this move, noting it will not only mitigate load shedding but also stabilize the country’s economy.

Engineer Boniface Zulu has called for public-private stakeholder engagements to address the impacts of drought on Zambia’s power generation. The increase in tariff charges is viewed as a temporary measure, as ZESCO expects to reduce load shedding hours from twenty-one to seventeen until a stable power supply is anticipated to be in place around February or March 2025.

The Zambian government has identified the load shedding crisis as an opportunity to diversify energy sources, emphasizing the installation of solar and diesel-powered generators.

Peter Mumba, the Technical Permanent Secretary in the Ministry of Energy, announced that the government is developing a 100 MW solar PV power plant in Chisamba, projected to take ten months to complete. Additionally, the ministry, in collaboration with ZESCO, has deployed 23 diesel generators to critical locations such as markets and hospitals across the country.

The government is also promoting rooftop solar installations in public institutions and households, which has led to the adoption of a Net-Metering Policy. In response to the severe effects of load shedding, the Zambian government has implemented measures to enhance consumer support.

Cabinet has approved the removal of import taxes on all solar equipment, and the ERB, in collaboration with the Zambia Revenue Authority, has announced that importers are no longer required to obtain a one-off waiver to import solar equipment for domestic or non-commercial use. This policy change facilitates tax-free imports of solar equipment, allowing more homes to transition to renewable energy sources.

To further promote the integration of variable renewable energy sources, the Energy Regulation Board (ERB) has introduced the Zambian Distribution Grid Code and the National Energy Policy 2019. The Ministry of Energy, with support from the European Union under the Increased Access to Electricity and Renewable Energy Production (IAEREP) project, is developing regulations to detail the implementation of Net-Metering (NEM) in the country.

This mechanism allows electricity consumers—both residential and commercial—who generate renewable energy for their own use to export any excess electricity back to the grid and receive credits for it. These consumers, known as “prosumers,” can potentially earn additional income over time. A predetermined tariff approved by the ERB will apply to the exported electricity and will offset the electricity consumed from the grid by the prosumer.

Signed into law and published in the Government Gazette on July 5, 2024, the Electricity (Net Metering) Regulations enable Distribution Network Service Providers like ZESCO to offer a net metering program to their consumers. The ERB is collaborating with the Zambia Bureau of Standards and the Zambia Compulsory Standards Agency (ZCSA) to develop standards that will ensure the quality of renewable energy products entering the country is closely monitored.

ERB Public Relations Manager Namukolo Kasumpa stated that the board is also working with the Engineering Institution of Zambia (EIZ) to ensure that enterprises trading in renewable energy products are licensed with the ERB and registered with EIZ.

“For those not licensed, the ERB is coordinating with the Zambia Revenue Authority (ZRA) to ensure that those importing solar products for domestic or non-commercial use comply with the self-declaration requirements at border entry points,” Mrs. Kasumpa said.

2024/25 Rainfall Outlook

In February 2024, President Hakainde Hichilema declared the prolonged drought caused by El Niño a National Disaster. However, the 2024/25 rainfall forecast has brought hope to both ZESCO and the Zambezi River Authority. Regional and international weather experts, meeting during the Southern African Climate Forum in Harare, Zimbabwe, in August, projected that the Southern African Development Community (SADC) region would experience normal to above-normal rainfall during the 2024/25 season.

The Zambezi River Authority has allocated 27 billion cubic meters of water for power generation, to be shared equally between ZESCO and the Zimbabwe Power Company, with each receiving 13.8 billion cubic meters.

ZRA Director of Water Resources and Environmental Management, Engineer Christopher Chisense, announced that the authority is considering a water harvesting plan to develop three additional sites, augmenting the existing capacity at Kariba Dam. These new sites include the Batoka Gorge Hydro Electric Scheme, with a capacity of 2,400 MW; the Mupata Gorge Hydro Electric Scheme, with 1,200 MW; and the Devils Gorge, also with a capacity of 1,200 MW.

“It is important to note that environmental impact assessments have already been completed for the Batoka Gorge Hydro-Electric Scheme. ZRA is in the process of establishing additional water storage infrastructure to complement the existing setup at Kariba North Bank, which has a total generation capacity of 4,800 MW,” Eng. Chisense explained.

Reduced water allocations to the two power stations will have nearly equal effects on both ZESCO and the Zimbabwe Power Company.

In the pursuit of sustainable energy, hydropower has long been a cornerstone of renewable electricity generation, harnessing the force of flowing water to produce clean, reliable energy. However, as climate change accelerates, its unpredictable impacts threaten the future of this once-dependable energy source. The relationship between water and energy has become increasingly complex, with shifting rainfall patterns, prolonged droughts, and more frequent extreme weather events reshaping hydropower’s role in the global energy mix.

As Zambia seeks solutions to its energy and water crises, it’s worth noting that the El Niño phenomenon could lead to a La Niña, according to a World Meteorological Organisation press release from September 2024. Secretary-General Celeste Saulo reported that the past nine years have been the hottest on record, despite the cooling effects of a prolonged La Niña from 2020 to early 2023. The El Niño event for 2023-24 emerged in June 2023, peaked between November 2023 and January 2024, ranking among the five strongest El Niño events recorded before gradually dissipating, although some impacts linger.

Read more in part 1