Zambia’s efforts to address the country’s electricity shortfalls have received a major boost, following the signing of a 25-year Power Purchase Agreement (PPA) between ZESCO Limited and Lufubu Power Company (LPC).
The agreement secures 163 megawatts of baseload hydropower from a new plant to be developed in the resource-rich Northern Province.
In a statement issued to RCV News today ZESCO Managing Director, Justin Loongo, highlighted that the Lufubu Hydropower Plant, expected to cost over USD 800 million, approximately K23.7 billion, will be constructed on the Lufubu River, spanning the districts of Mpulungu, Nsama, and Mporokoso.
Mr. Loongo said once operational, the plant will contribute about 5% to Zambia’s installed electricity capacity, with room to expand output as demand grows.
“The project is seen as a critical step toward achieving President Hakainde Hichilema’s goal of universal electricity access by 2030 and also reflects government’s broader strategy to diversify the country’s energy mix and reduce reliance on drought-prone southern dams by tapping into the North’s consistent rainfall and underutilized hydropower potential, “said Mr. Loongo.
He said the partnership with LPC accelerates ZESCO’s mission to provide affordable, reliable energy for all Zambians, and that the infrastructure is expected to unlock broader development in the north, supporting rural electrification, industrial expansion, and the mining sector.
Mr Loongo further said the infrastructure is a cornerstone of government’s plan to unlock economic opportunities in Northern Province and integrate it into the national energy framework.
By Margaret Mwanza
