The Zambian Government has reaffirmed its commitment to expanding investment in green and renewable energy through local authorities following the signing of a Memorandum of Understanding between the Ministry of Local Government and Rural Development and SGC LLC of the United Arab Emirates. The agreement creates a framework for cooperation aimed at promoting and facilitating renewable energy projects in partnership with local authorities across Zambia. The partnership comes as the country continues to focus on improving energy security, increasing generation capacity and supporting sustainable economic growth. It also highlights the important role that local authorities can play in connecting national investment priorities with development opportunities in communities. Government says the success of the partnership will ultimately depend on turning the agreement into viable projects that deliver measurable benefits to Zambians.
Speaking during the signing ceremony, Ministry of Local Government and Rural Development Permanent Secretary for Administration Dr Gabriel Pollen said the MOU provides a basis for cooperation between the Ministry and SGC LLC in promoting green and renewable energy investments. He explained that the partnership would strengthen the connection between national investment priorities and local economic development. This means that renewable energy projects are expected to support broader development objectives while also responding to the needs and opportunities found within local communities. The involvement of local authorities is particularly important because they have direct responsibilities linked to development planning and local infrastructure. Through stronger coordination, the partnership could help create a more organised pathway for investors seeking to establish renewable energy projects in Zambia.
Local authorities are expected to play an important role in facilitating investments at community level. Their responsibilities can include supporting access to suitable land, assisting with local infrastructure requirements and helping investors navigate relevant planning and development processes. They can also contribute to community engagement, which is important when projects are established in areas where local residents may be directly affected or benefit from new developments. Effective engagement can help ensure that communities understand the opportunities associated with renewable energy investments and have a meaningful role in local development discussions. Government’s approach therefore seeks to make local authorities active participants in attracting and facilitating investment rather than limiting their role to administrative processes.
Dr Pollen also emphasised that adequate and affordable energy is fundamental to Zambia’s economic transformation. Reliable energy supports a wide range of economic activities, including industry, agriculture, mining, manufacturing and commerce. It is also essential for households and the delivery of public services at local level. Expanding renewable energy capacity can help Zambia diversify its energy sources while supporting the growing demand for electricity from businesses and communities. The focus on green and renewable energy therefore forms part of a broader economic strategy aimed at strengthening productive capacity and creating conditions for sustainable growth.
The Government has committed to creating an enabling environment for investment in the energy sector, particularly projects that can increase generation capacity and improve energy security. Diversifying the country’s energy mix can reduce reliance on limited sources of electricity and provide additional options for meeting future demand. Renewable energy projects can also support environmental sustainability while creating opportunities for investment, technology transfer and skills development. Government has indicated that it wants projects to be both economically viable and environmentally responsible. This approach places emphasis on investments that can provide long-term value rather than projects that offer only short-term benefits.
The partnership with SGC LLC is also expected to help mobilise capital, technical expertise, technology and international investment networks for green energy projects in Zambia. Access to these resources can be important in moving renewable energy proposals from early-stage opportunities to projects that can be developed and operated successfully. International partnerships can also introduce technical knowledge and investment experience that can strengthen the implementation of large-scale energy initiatives. However, Government has stressed that projects must operate within the applicable legal and regulatory framework. Relevant institutions will therefore continue to coordinate with investors and local authorities to support responsible investment while ensuring that established requirements are followed.
The Ministry is expected to immediately engage relevant Government institutions and establish a technical team to work with SGC Investments LLC on an implementation plan. This step is intended to move the MOU beyond the signing ceremony and towards practical action. An implementation plan can help identify potential projects, clarify responsibilities, establish timelines and coordinate the institutions involved in delivering the partnership. The creation of a technical team also signals an effort to maintain momentum and ensure that opportunities identified under the agreement receive the necessary attention. The Government has made it clear that the real measure of the partnership will be the projects that eventually emerge and the benefits they create for the people of Zambia.
Government has also emphasised that it will remain focused on projects that are technically sound, financially viable and environmentally responsible. This means that potential investments will need to demonstrate their ability to operate effectively while creating sustainable economic value. Projects will also need to consider their environmental impact and their contribution to local and national development. Such an approach can help ensure that renewable energy investment supports Zambia’s long-term interests rather than simply increasing the number of projects announced. The focus on viability and sustainability is particularly important because major energy investments require significant resources and careful planning.
SGC Company of the United Arab Emirates also expressed its willingness to work with Government and local authorities to promote investment that creates employment, supports local businesses and contributes to sustainable economic development. SGC Chief Executive Officer Imran Saeed reaffirmed the company’s commitment to working with Government and other stakeholders to turn investment opportunities into actual projects. This commitment could create opportunities for Zambian businesses to participate in renewable energy value chains through construction, supply, services and other related activities. Employment opportunities could also emerge during both the development and operational phases of viable projects. The company’s stated focus on local economic benefits aligns with the Government’s objective of ensuring that investment contributes to development beyond the immediate project site.
The MOU represents another step towards strengthening Zambia’s position as a destination for sustainable energy investment. By bringing together national Government institutions, local authorities and an international investment partner, the partnership creates an opportunity to connect global capital and expertise with local development needs. The emphasis on renewable energy also reflects the importance of building a more diverse and sustainable energy system that can support Zambia’s growing economy. However, the next phase will be critical because the value of the agreement will depend on implementation, project delivery and measurable economic benefits. If successfully translated into viable investments, the partnership could contribute to increased energy capacity, employment, local business opportunities and improved economic activity in communities across Zambia.
The signing of the MOU between the Ministry of Local Government and Rural Development and SGC LLC marks an important first step in Zambia’s efforts to attract more investment into green and renewable energy. Government has made it clear that it wants credible partnerships that can mobilise capital, technology and expertise while supporting local development. The involvement of local authorities provides an opportunity to ensure that national energy priorities are connected to the needs and opportunities of communities. As the technical team begins work on an implementation plan, attention will now shift from the agreement itself to the identification and development of projects that can deliver lasting value. Zambia’s commitment to sustainable investment will ultimately be judged by the energy projects created, the jobs generated, the businesses supported and the improvements delivered to communities and the wider economy.