US$763 million solar masterplan unveiled at ZEDCON

Nqobile Bhebhe, Zimpapers Business Hub
THE Government has unveiled a targeted 1 065-megawatt (MW) solar rollout programme requiring an estimated US$762,75 million in initial capital to ease Zimbabwe’s electricity deficit.

Authorities expect the initiative to guarantee adequate power supply to productive sectors and potentially generate US$28 million a year from surplus power exports.

Zimbabwe’s maximum peak demand ranges from 1 800 MW to 2 350 MW, while domestic generation hits a ceiling of roughly 1 300 MW to 1 400 MW.

The country is also aggressively pushing solar investments to modernise its climate-vulnerable energy sector, resolve a persistent domestic power deficit and drive economic growth.

This is supported by the fact that it possesses exceptional solar energy potential, featuring an estimated photovoltaic (PV) generation capacity of 109 gigawatts (GW), an annual average solar irradiation of 5,5 to 6,5 kWh/m²/day and roughly 3 000 hours of sunshine per year.

The planned solar power programme, revealed by Reserve Bank of Zimbabwe economist Mr Oliver Chipfuwamiti at the ongoing ZEDCON 2026 in Bulawayo yesterday, proposes a mix of utility-scale and distributed solar generation targeted at sectors critical to economic growth.

These include mining, heavy industry, agriculture and public institutions.

Under the proposed allocation, 500MW would come from utility-scale solar parks.

In terms of distribution, 250MW would be dedicated to mining and heavy industry, 200MW to agriculture and irrigation and 115MW to schools, universities and hospitals.

The combined 1 065MW portfolio is projected to generate approximately 1,86 terawatt-hours (TWh) of electricity annually, significantly increasing daytime electricity availability and reducing pressure on the national grid.

The programme is part of efforts to diversify Zimbabwe’s energy mix and address electricity constraints affecting economic activity.

The required investment creates opportunities for independent power producers, commercial entities and institutional investors and the proposed model relies on private and public financing.
Planning assumptions put utility-scale solar capital expenditure at about US$700 000 per MW, while institutional installations are estimated at US$850 000 per MW.

The allocation of 250MW to mining and heavy industry shows the role of reliable electricity in supporting Zimbabwe’s industrial and export sectors.

Mining operations are among the country’s largest electricity consumers, while agriculture and irrigation require dependable power to sustain production.

The proposed 200MW allocation to agriculture and irrigation could support irrigation schemes and other energy-intensive agricultural operations, while the institutional allocation is expected to strengthen electricity security at schools, universities and hospitals.

The strategy also envisages distributed solar as a way of reducing pressure on the central grid by generating electricity closer to consumers.

“Distributed PV can support mining, industry, agriculture and public institutions while reducing pressure on the central grid,” Mr Chipfuwamiti said.

Beyond meeting domestic demand, the proposed programme could create a surplus that can be traded through the Southern African Power Pool (SAPP).
Continues on www.chronicle.co.zw

“Approximately 280 GWh/year could potentially become available for export under the paper’s illustrative 15 percent surplus-export scenario,” Mr Chipfuwamiti said.

“At an assumed SAPP price of US$0,10/kWh, this corresponds to an illustrative US$28 million/year revenue scenario.”

The US$28 million is an illustrative revenue scenario, not a guaranteed return, with actual export earnings dependent on generation performance, domestic demand, available transmission capacity and prevailing SAPP prices.

The regional export opportunity adds a foreign-currency dimension to the solar investment programme, potentially allowing surplus renewable generation to contribute to Zimbabwe’s external earnings.

Mr Chipfuwamiti said solar generation also had the potential to compete with imported electricity.

“PV generation has the potential to be competitive with imported electricity, subject to project-specific financing, tariffs, network charges and operating conditions.”

The initiative also requires investment in battery energy storage systems (BESS) to address the intermittency of solar power.

Under representative modelling, pairing 2MW of PV generation with 4–5MWh of practical battery storage would allow excess daytime generation to be stored and deployed during evening demand peaks.

The strategy envisages solar, storage, smart inverters and grid reinforcement working together to improve system reliability.

“BESS, smart inverters, energy efficiency and grid reinforcement are essential for managing PV variability and enabling reliable integration,” Mr Chipfuwamiti said.

The scale of investment envisaged will require policy measures to make projects bankable and attract private capital.

The recommendations include strengthening distributed-generation policy, developing predictable tariffs and power purchase agreements (PPAs), introducing appropriate net-metering and feed-in mechanisms, and establishing transparent electricity-wheeling arrangements.

The programme also proposes the use of public-private partnerships, green finance and concessional funding to reduce the upfront investment barrier.

Mr Chipfuwamiti said Zimbabwe’s energy strategy should move beyond reliance on centralised generation.

“Zimbabwe’s energy deficit requires diversification beyond the existing centralised generation model.

“A coordinated 1,065 MW distributed solar programme could produce approximately 1.86 TWh/year under the adopted planning assumptions.”

He said the programme could also strengthen Zimbabwe’s regional electricity-trading position, but cautioned that further technical work was required.

“The programme could strengthen Zimbabwe’s participation in regional electricity trade, but detailed financial, network and hourly energy-system studies are required before implementation.”

Ultimately, the proposed rollout places renewable energy at the intersection of power security, industrial production, agricultural productivity, investment mobilisation and regional electricity trade.

“Distributed solar should be treated not simply as additional generation, but as part of an integrated national energy strategy,” he said.

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