- Zambia’s 25 MW Ilute solar project strengthens energy security by diversifying the nation’s reliance on hydroelectric power.
- The $45 million project uses a unique financing model, attracting private investment without sovereign guarantees.
- Ilute connects to the Southern African Power Pool (SAPP), allowing Zambia to sell surplus electricity to neighbouring countries.
Zambia is expanding its energy mix with the 25 MW Ilute solar project. The country, which relies on hydroelectricity for over 85% of its power, aims to enhance energy security and reduce vulnerability to drought through renewable alternatives.
The Ilute project secures $45 million, featuring an innovative financing model. SEFA contributes $8 million, while private investors supply the remaining $37 million. By avoiding sovereign guarantees, this funding approach can attract independent investors and inspire more renewable energy projects in Southern Africa.
Connected to the Southern African Power Pool (SAPP), the Ilute project enables Zambia to sell excess electricity to neighbouring countries. This regional connection boosts profitability and strengthens energy cooperation with nearby nations. Although Ilute’s capacity remains at 25 MW, it marks an essential step toward reducing Zambia’s dependence on hydroelectric power and addressing energy shortages during droughts.
Zambia has already made progress with other solar projects. The Ilute solar park will add to the country’s portfolio, including the 54 MW Bangweulu and 34 MW Ngonye parks, which have been operational since 2019. A 200 MW solar plant is also under construction in Serenje. These efforts highlight Zambia’s drive to diversify its energy sources.
However, Zambia still faces energy challenges. Droughts continue to reduce hydroelectric output, emphasising the urgent need for more renewable installations. While Ilute plays a critical role, Zambia must continue developing a balanced energy mix to secure its future power supply.
The Ilute project reflects a broader trend in Southern Africa, where countries seek to diversify their energy sources in response to climate change. Ilute’s strategic position enables it to contribute to regional energy cooperation, supporting a more stable power supply for Zambia and its neighbours.
Renewable energy funding in Africa often faces hurdles, with many projects depending on sovereign guarantees that strain government budgets. Ilute’s financing model, which eliminates such guarantees, presents a new path forward.
By proving that renewable projects can attract private investment without heavy reliance on government backing, Ilute sets a precedent that could boost the clean energy sector in the region.
As Zambia adds to its growing list of solar projects, including Ilute, it positions itself as a regional leader in renewable energy. Yet, securing energy stability requires more large-scale projects and sustained investment. The Ilute solar park represents an essential move toward energy security, but Zambia must continue its efforts to ensure a resilient and sustainable energy future.