Govt launches US$3.8 million NEAT project.

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Government has launched the US$3.8 million National Energy Advancement and Transformation (NEAT) project aimed at subsidising electricity access in rural communities.

The project is part of the US$10 million support provided by the World Bank to the Rural Electrification Authority (REA).

Through this initiative, over 560,000 people in rural areas are expected to be connected to electricity at a subsidised fee of about K300.

The NEAT programme, a multiphase initiative supported by the World Bank, is designed to enhance the financial sustainability, reliability, and resilience of Zambia’s electricity sector by 2033.

It aims to help ZESCO return to financial stability, attract private sector investment, and promote inclusive national development while strengthening climate resilience through diversification of the energy mix.

The first phase, running from 2024 to 2026, includes a US$100 million grant to improve ZESCO’s financial performance, operational reliability, and support electrification financing mechanisms under REA.


Speaking during the launch in Itezhi Tezhi District, Energy Minister Makozo Chikote said the project will help increase rural electricity connectivity from 34 percent to 51 percent by 2026.

Mr. Chikote assured that most Chiefdoms across the country will benefit from the connections, adding that the launch of NEAT demonstrates Government’s commitment to ensuring rural communities are included in national development.

He emphasised that inclusive energy access remains key to socio-economic development.

The project, implemented by REA in collaboration with ZESCO, will enable rural households to access electricity at a subsidised connection cost of approximately K300.


And speaking at the same event, Chief Chikaza Munyama, who hosted the event, thanked Government for the initiative, stating that access to electricity will significantly improve livelihoods in his Chiefdom.

The Traditional Leader also encouraged increased local production, stating that its potential to contribute to national economic growth.

Chief Chikaza Munyama further commended Government for prioritising rural electrification.


Meanwhile REA Board Chairperson Bruce Jaani praised the initiative’s transformative potential, highlighting that over 15,000 rural households are expected to benefit from electricity access in 2024 alone.

He has encouraged communities to actively connect their homes to the expanding grid while embracing off-grid solutions where grid extension is not feasible.

Mr Jaani reiterated REA’s commitment to a balanced approach that promotes both on-grid and off-grid electrification to ensure no community is left behind.


And ZESCO Managing Director Justin Loongo, Director of Power Generation Ernest Banda reaffirmed ZESCO’s dedication to supporting the NEAT programme.

“We are pleased to partner with the Rural Electrification Authority and the Ministry of Energy to actualize the NEAT project,” Mr Banda stated.

“Together, we remain committed to making electricity accessible to all Zambians, regardless of location.”

Ends……………………………………


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