• The partners plan 1,300 MW of new capacity from solar and coal in Zambia
• Investments aim to stabilize the grid and support industrial and mining growth
• Zambia seeks to ease its 90% reliance on hydropower through private-sector projects

The Tanzanian conglomerate Amsons Group signed a partnership agreement on Tuesday, December 9, with Exergy Africa, an energy-focused investment firm active in East and Southern Africa, to develop 1,300 megawatts (MW) of solar and coal-based power capacity in Zambia.

The total investment for the planned projects is estimated at about $900 million, according to the agreement signed in Lusaka.

The projects aim to improve grid reliability for key industrial sectors and enable new investment in manufacturing and mining.

Solar capacity of 500 MW is expected to be added to the national grid within 18 months, and the full 1,300 MW should be completed within 24 months. In detail, 1,000 MW will come from solar plants and 300 MW from a coal facility.

Amsons Group CEO Edha Nahdi said Zambia is a strategic and fast-growing market for the group, noting that the conglomerate will bring logistical strength and clean-energy investment to support Zambia’s industrialization and energy stability.

“This partnership represents a major commitment to Zambia’s power sector and industrial future. By partnering with a group that already operates at scale across multiple African markets, we have paced ourselves to move faster, reduce project risk, and deliver reliable power where it is needed most,” said Exergy Africa Limited director Monica Musonda.

Reducing hydropower’s dominance in the energy mix

Zambia’s Minister of Energy, Makozo Chikote, who attended the signing ceremony, said the projects announced by Amsons Group and Exergy Africa support the government’s energy-sector development strategy, which calls for a stronger role for private investors.

In recent months, the Zambian government has multiplied announcements of new solar-plant projects developed with local and foreign private partners to reduce its dependence on hydropower, which accounts for 90% of the country’s electricity mix, according to the International Energy Agency (IEA). This heavy reliance exposes the grid to climate-related risks, including droughts that lower reservoir levels and trigger production deficits.

Amsons Group is a diversified energy and industrial conglomerate operating in Tanzania, Kenya, Mozambique, the DRC, and Zambia. Its activities include fuel distribution, cement manufacturing, milling, logistics, packaging, real estate, and electronics assembly.

Based in Zambia, Exergy Africa Limited invests in and develops projects across the energy value chain, including power trading, generation, and distribution.

Walid Kéfi