Online Reporter
Sikhumbuzo Moyo
THE Ministry of Energy and Power Development has approved a draft National Energy Compact (NEC), anchored on five strategic pillars aimed at transforming Zimbabwe’s energy sector and accelerating rural industrialisation, a senior Government official has said.
Presenting a paper at the inaugural Rural Industrialisation Indaba held on Tuesday at the Zimbabwe International Exhibition Centre (ZIEC), the permanent secretary in the Ministry, Engineer Gloria Magombo, said the NEC would serve as a framework for collaboration with key partners to unlock energy-driven development.
The Indaba ran under the theme “Inclusive Growth, Industrial Roots: Unlocking Zimbabwe’s Rural Potential.”
Engineer Magombo outlined that the first pillar of the NEC seeks to expand generation, transmission, and distribution infrastructure at competitive costs. The second pillar aims to leverage regional integration benefits, including power imports and exports, as well as establishing a regional fuel distribution hub via the pipeline.
The third pillar focuses on distributed energy systems and the provision of clean cooking solutions to ensure affordable last-mile access.
Pillars four and five aim to incentivise private sector participation to unlock additional infrastructure investment and ensure the financial viability necessary to deliver reliable, affordable energy services.
“The NEC defines the opportunities and challenges within the sector, as well as the key policy, legal and regulatory frameworks that will create an enabling environment for investment and accelerated access to modern energy services,” she said.
“It also addresses the need for clear stakeholder roles and the importance of de-risking investments.”
Engineer Magombo noted that various strategies are already being implemented to increase access to productive energy in rural areas, in alignment with the national vision of achieving upper middle-income status by 2030.
Central to these efforts is the Rural Electrification Fund (REF), established under the Rural Electrification Fund Act of 2002. The Fund’s mandate is to expand access to energy in rural areas through grid extension and other modern energy solutions such as solar and biogas.
“Government established the Rural Electrification Fund through the Rural Electrification Fund Act of 2002. The Fund is mandated to ensure energy access in rural areas through the extension of the national grid and the adoption of modern energy forms like solar and biogas,” said Engineer Magombo.
She explained that REF is currently utilising three primary technologies for energy access in rural Zimbabwe: conventional grid extension and densification, distributed renewable energy systems (such as mini-hydros and solar), and biogas, alongside other innovative solutions.
To make energy access more affordable, REF has introduced subsidies designed to improve the ability of rural Zimbabweans to access energy universally by 2030. These include a 100 percent solar subsidy for public institutions and chiefs’ homesteads, while groups of villagers (10 or more) and individual homesteads receive 50 percent and 40 percent subsidies, respectively.
“This helps to stimulate the productive use of energy and support industrial growth in rural areas,” she said.
Under the Grid Extension projects, Engineer Magombo reported that, as of February this year, more than 10,840 rural public institutions had been electrified by REF.
These include 4 621 primary schools, 1 538 secondary schools, 1 037 rural health centres, 1 279 business centres, 303 chiefs’ homesteads, 870 small-scale farms and villages, as well as grinding mills, irrigation schemes, and base stations.
She added that Government is compiling comprehensive data on commercial rural irrigation, mining, and other productive-use schemes.
Efforts are also underway to mobilise support for last-mile household connections and network densification, particularly for sparsely populated and disadvantaged communities. There is an active drive to secure low-cost, long-term financing for off-grid and solar home systems.
Engineer Magombo emphasised that energy access, particularly electricity, is essential for driving rural industrialisation.
It enables productive use across key sectors such as agriculture, mining, tourism, and manufacturing by supporting small-scale businesses, improving agricultural productivity, and promoting rural economic growth.
She concluded by stating that, under the Second Republic’s devolution agenda and its commitment to “leaving no one and no place behind”, energy access in rural areas is a necessity, not a luxury.
The event was attended by high-level dignitaries, including the Minister of State for Bulawayo Provincial Affairs and Devolution, Judith Ncube, Cabinet Ministers, Deputy Ministers, Zimbabwe Council of Chiefs President Chief Mtshane Khumalo, senior Government officials, and captains of industry.
