Private Power Lines and the Real Test of Zambia’s Energy Reforms: The Case of Kanona’s Tanzania-Zambia Interconnector

The electricity crisis that Zambia has experienced since 2024 has done more than expose the country’s decades-long dependence on a single source of electricity. It has laid bare the nation’s handicapped power infrastructure.
Public frustration was high, with many in disbelief that Tanzania, connected to Zambia by a 338-kilometre-long land border, had power to “waste” while Zambia languished in darkness! While Tanzania’s excess overflowed, literally, Zambia’s riverbeds turned into dry, parched land.

True to the saying that “every cloud has a silver lining”, the legislative, policy, and market changes introduced in the wake of the crisis have given rise to private investors who are quietly but decisively changing the power game in Zambia and the region.

News of private sector-led power infrastructure development is therefore exciting and affirms the market’s readiness to respond positively to a progressive, enabling regulatory environment.
One such development is the proposed Tanzania (Mwakibete) to Zambia (Nakonde) high voltage transmission interconnector being pursued by Kanona Power Company Limited – one of the power traders taking advantage of these sector changes. Kanona has called various sectors of society in Nakonde District of Muchinga Province to participate in the public scoping meetings it will hold regarding its proposed power interconnector line.

By that notice and invitation to the public, Kanona has made known its intention to build a transmission line linking the two countries’ power systems. It will become only the second private player in Zambia, after the Copperbelt Energy Corporation (CEC), to own a transnational power line. CEC’s historical interconnector with the Democratic Republic of Congo has existed since 1956, long before the country had a national utility.

This is a project to be welcomed and watched—deserving of both support and scrutiny for various reasons. First, it’s a test of the effectiveness of the government’s much-touted power sector reform in practice: can private capital now be deployed efficiently to construct cross-border infrastructure without unnecessary administrative or regulatory barriers?
Second, the project signals a shift in the scale of private sector participation. Rather than restricting themselves to electricity trading or short-term opportunities, private players are now investing in core infrastructure assets. This development could significantly accelerate sector growth.

Another point of interest offers insight into how private capital can operate across borders to support states in a sector long dominated by state-owned utilities. Fourth, its success would highlight the potential agility of private investment in delivering infrastructure faster than traditional public-sector models, therefore fast-tracking the sector’s development.

Kanona has indicated that it intends to develop the project within 12 months. This is ambitious, especially when compared to similar projects. CEC’s second line to the DRC took more than 15 years to plan and develop. Similarly, the government-led Zambia – Tanzania interconnector, being implemented by ZESCO with multi-donor financing, has been under consideration for more than 10 years. Although US$245 million in World Bank funding was released in 2025, the line is only expected to become operational in 2028.

If Kanona succeeds in delivering its project ahead of this timeline, it would provide a significant boost to regional power trade, cooperation, and interconnection.
Some have questioned whether the private interconnector would compete with or even undermine the government-backed project. On the contrary, the two lines will complement rather than compete against each other. Such concerns overlook a key principle of power systems: redundancy. Multiple transmission lines enhance reliability by ensuring continuity of supply when one line is out of service due to faults or maintenance.

The two projects are complementary rather than competitive. The government interconnector, operating at 330 kilovolts, will serve as the primary backbone for bulk power transfers between Tanzania and Zambia, running from Tunduma to Nakone. Kanona’s proposed 220-kilovolt line will play a secondary, supporting role, increasing flexibility and resilience in the system. Importantly, the government-backed line will also link the Southern African Power Pool to the East African Power Pool via Kenya, strengthening continental energy integration.

Another important differentiator lies in financing. Kanona’s project is not public. It is a privately funded project, not relying on public or concessional resources earmarked for the government interconnector. Together, the two lines will increase the transfer capacity or amount of power that can be moved between the two countries, promote economic growth, and deepen regional cooperation.
This is precisely the kind of value-addition expected from the private sector when the government provides an enabling policy environment. Seen in the context of load shedding, private sector participation eases the burden on the government and ZESCO, which cannot and should not shoulder the responsibility of finding solutions alone, even when the means do not allow.

Historical evidence shows that from the late 1970s onwards, Zambia’s transmission and distribution infrastructure stagnated and decayed. While much attention is often paid to generation in policy and public discussions, expanding electricity generation without adequate transmission and distribution networks cannot bring power to consumers. Power needs a network of lines to move from where it is produced to where it is used. And, as the latest load shedding episode has shown, regional interconnectors may prove to be the country’s most critical lifeline during periods of crisis.