Chikote calls for strengthening of state utilities in Africa while boosting private sector participation in energy

Energy Minister, Makozo Chikote, has emphasized that while private sector involvement was vital, governments across Africa must also reinforce state-owned power utilities, which remain central to electricity supply.

Speaking at the 66th Southern Africa Power Pool (SAPP) meeting on Thursday at Mulungushi International Conference Centre, Chikote noted that utilities across the region continued to face operational challenges that affected their financial performance.

“While we encourage private sector participation, we should not forget about state power utilities, which remain the suppliers of last resort in our region,” he said.

Chikote highlighted key challenges confronting utilities, including high distribution losses, infrastructure theft, vandalism, and other inefficiencies.

“These issues cost utilities millions of dollars every month. Innovative technical solutions, stronger regulatory enforcement, and unified regional frameworks are needed,” he said.

The minister also underscored the importance of private sector engagement, noting that Zambia’s government supports independent power producers and seeks investment to expand electricity generation and infrastructure under the Open Access Framework.

He called for stronger partnerships among member states and independent power producers to ensure energy projects reached financial closure.

Chikote further stressed the need to diversify Zambia’s energy mix through renewable energy investments.

“A robust integrated renewable energy plan will meet our energy needs and reduce reliance on hydropower,” he said.

He added that energy underpinned all sectors of the economy, from banking to agriculture, and revealed that the government was engaging stakeholders to harmonize taxes, duties, and levies to support cross-border electricity trade and strengthen energy security.

WARNING! All rights reserved. This material, and other digital content on this website, may not be reproduced, published, broadcast, rewritten or redistributed in whole or in part without prior express permission from ZAMBIA MONITOR.