Zambia is grappling with a severe power deficit, attributed to years of neglecting expert recommendations for energy diversification, according to Finance Minister Situmbeko Musokotwane.
Reliance on Hydroelectric Power
In his 2025 budget presentation, Dr. Musokotwane emphasized that the current energy crisis could have been mitigated if Zambia had invested in alternative energy sources, rather than relying predominantly on hydroelectric power.
“Madam Speaker, the severe power shortage our country faces is partly due to our longstanding dismissal of the advice from energy experts,” Musokotwane stated.
Calls for a Diversified Energy Mix
Energy experts have long advocated for a diversified energy mix, recommending non-hydro sources such as solar and wind energy. Unfortunately, these suggestions were often overlooked due to concerns about the high costs associated with developing alternative energy infrastructures.
Dr. Musokotwane underscored that this hesitation is proving costly, as the economic impact of power outages far exceeds the investments needed for sustainable energy solutions.
“Clearly, this reluctance has been short-sighted; the costs of power shortages are now more detrimental to businesses and households than the investments we would have made in alternative energy,” he noted.
Impact on Businesses and Households
Zambia’s power outages have profoundly impacted local businesses, forcing many to either close or rely on costly diesel generators. To alleviate the energy crisis, Dr. Musokotwane proposed a pricing structure designed to incentivize investment in alternative energy while ensuring affordable electricity access for low-income households.
Progress in Renewable Energy Projects
Despite the challenges, the minister highlighted positive strides in renewable energy initiatives. He reported the completion of 131 grid development projects and 38 off-grid renewable energy projects. The Rural Electrification Authority (REA) is currently managing 12 mini-grids, providing over 2,000 new connections, with an additional 15 solar projects set to be completed by year’s end, adding over 3,400 new connections.
Hydroelectricity Crisis Due to Climate Change
Zambia’s dependency on hydroelectric power has been further challenged by erratic rainfall patterns in 2024, leading to diminished water levels at major dams and frequent power cuts. This situation has compelled many businesses to operate on costly backup generators.