LocationsFor Immediate Release
Spotlight on Productive Uses of Electricity: A Pathway to Sustainable Electrification and Local Development in Zambia
December 10, 2024
Lusaka, 26th November 2024 – Zambia is grappling with an energy crisis intensified by the adverse impacts of climate change, particularly a prolonged drought. The country's heavy reliance on hydropower has heightened the severity of the situation, underscoring the need for diversified energy solutions. Decentralized energy systems – such as mini-grids and stand-alone solar systems – present a sustainable alternative for rural and peri-urban communities, offering not only reliable power but also opportunities to stimulate local development.
The United Nations Development Programme (UNDP), in collaboration with the Ministry of Energy in Zambia, has undertaken a project to explore the alignment between renewable energy mini-grids and the productive uses of electricity (PUE). PUE refers to the use of electricity for activities
that enhance income and productivity, such as irrigation for agriculture, milling and grinding, refrigeration for food preservation, and powering tools such as sewing machines, barber equipment, and other machinery essential for market-driven activities.
Under the PUE project, UNDP, along with representatives from the Ministry of Energy and the Rural Electrification Authority (REA), recently visited two mini-grid sites. The first, in Ngwerere near Lusaka, is operated by Standard Microgrid. The second, located in Batoka town in Pemba District, is managed by REA and powers the Moyo Mini Hospital.
The visits aimed to assess how mini-grids are providing electricity to local communities and how PUE initiatives are driving economic growth within these areas. The visits showcased the Ngwerere Microgrid’s support to small businesses and other income-generating activities. While the Moyo Mini-Grid, originally designed to support healthcare facilities, holds vast potential for expansion into areas such as irrigation and local enterprise development.
"This process is a critical step in demonstrating how renewable energy can be a driver of sustainable economic development in Zambia. By identifying opportunities to integrate productive uses into existing Mini-Grids, we are creating pathways for communities to harness energy as a catalyst for growth and resilience,” said Dr. Chibulu Luo, Global Energy and Climate Change Advisor, UNDP – Sustainable Energy Hub.
The PUE project is also supporting various Small and Medium-Sized Enterprises, including women-led organizations, through grants to advance PUE within their communities. Additionally, the PUE project will conduct surveys to collect data to assess local energy needs, willingness to pay for electricity services, and financing options that align local needs and socio-economic conditions.
Moyo Mini-Grid located in Batoka town in Pemba District, is managed by REA and powers the Moyo Mini Hospital
Image captured by: Etambuyu Katota/UNDP Zambia
Further, a roundtable on PUE was held in Lusaka to discuss opportunities for collaboration, and financing mechanisms, data requirements, and market development strategies essential for scaling up PUE in Zambia. The event brought together representatives from the Ministry of
Energy, REA, and development partners such as the World Bank, African Development Bank, UNIDO, UNOPS, SEforAll, and the Solar Industry Association of Zambia.
“Mini-grids are reliable off-grid systems that can provide essential electricity services to Zambia’s unelectrified population. Productive use is a sustainable way to ensure that community electricity uses extend beyond lighting, and power essential economic activities,” said Mr. Brian Mainza, Principal Engineer – Renewable Energy, Ministry of Energy.
Dr. Chibulu Luo also highlighted the need for mini-grids to be designed with adequate load capacity to support diverse economic activities within communities – an objective central to the PUE project. The project is supported as part of UNDP’s Climate Promise, recognizing the critical role of mini-grids in advancing Zambia’s Nationally Determined Contribution (NDC).
Overall, the project will contribute to the development of a gender-responsive PUE Roadmap with insights into scalable financing models, policy recommendations, and strategies for sustainable electricity access in Zambia. Aligning with Zambia’s NDC and the broader Sustainable Development Goals, these efforts reaffirm Zambia's commitment to a resilient and low-carbon future.
A Brief on the Project: As part of UNDP’s Climate Promise, the “Promoting Renewable Energy Access through Productive Uses of Electricity” project explores pathways to scale up electrification through mini-grids designed to support Productive Uses of Electricity (PUE). The project focuses on assessing local contexts to facilitate mini-grid development in Zambia and identifying electrification opportunities in areas such as irrigation, agro-processing, and local market development. The project aims to support electrification policies by prioritizing PUE as a driver for scaling up energy access in Zambia, while also highlighting opportunities for scaled PUE financing through increased private sector engagement.
For more information and media interviews, contact:
Lusaka: Mercy Khozi; mercy.khozi@undp.org; +260211386200 Lusaka
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ABOUT UNDP: UNDP partners with people at all levels of society to help build nations that can withstand crisis, and drive and sustain the kind of growth that improves the quality of life for everyone. On the ground in some 177 countries and territories, we offer a global perspective and local insight to help empower lives and build resilient nations.
