GOVERNMENT has signed a K4.3 billion contract for the implementation of the Presidential Constituency Energy Initiative (PCEI), which will see the construction of two megawatts solar plants in all 156 constituencies.

Ministry of Local Government and Rural Development Permanent Secretary Technical Services Nicholas Phiri says once fully implemented, the plants will have a total combined output of 312 MW, which will be evacuated into ZESCO’s grid facilities at a fee.

Speaking during the signing ceremony, Tuesday, Phiri said five EPC Contractors were awarded to carry out the project at a cost of approximately K4.3 billion.

“The Presidential Constituency Energy Initiative (PCEl) is a flagship programme that was initiated by His Excellency the President, as a response to the energy deficit that the country has been experiencing arising from historical low investments into the sector, particularly in diversifying our energy mix. This initiative was approved on 24th November 2025 for onward implementation. The Presidential Constituency Energy Initiative seeks to design, supply, install, test and commission 2MW Solar PV Power Plants in each of the 156 constituencies of Zambia. However, this does not mean that each constituency will have a stand-alone station. In practice, there will be areas where these 2 MW plants per constituency will be aggregated in order to cut on cost and to maximize efficiency. The case in point is Lusaka with seven constituencies; we are going to aggregate the plant for Lusaka into 14 MW for the seven constituencies,” he said.

“Once fully implemented, the plants will have a total combined output of 312 MW, which will be evacuated into ZESCO’s grid facilities at a fee. We have no doubt that this additional capacity will make a meaningful contribution towards reducing the power deficit that we experienced in the recent past. The project will be managed through a Special Purpose Vehicle (SPV), with full support from my ministry, the Ministry of Local Government and Rural Development, the Ministry of Energy and indeed the Ministry of Finance. For the sake of efficiency ZESCO will be the Project Managers for this undertaking. The ministry noted this tender into 10 EPC lots, which were competitively tendered, were five (5) EPC Contractors were ultimately awarded to carry out this project at a total cost of approximately K4.3 billion (ZMW4,294,577,567.88)”.

He noted that the project would be implemented in 12 months.

“The 5 EPC Contractors that were awarded are: Sunshare Construction Limited in Joint venture with China Railway Construction Engineering Group Co. Limited, China Civil Engineering Construction Company Limited, Golden Baobab Investments in Joint Venture with Huawei Technologies Zambia Limited, Chetam Metals Fabrication in Joint Venture with ZamChin Construction Company Limited and China Jiangxi International Corporation in joint venture with Qingdao Haler Photovoltaic New Energy Co Limited. Once the project starts, it is anticipated that the project duration will be 12 months, effective the date of Contractors’ site mobilization,” Phiri said.

Phiri said part of the funding for the project would come from the CDF.

“The Presidential Constituency Energy Initiative will contribute significantly to the target of achieving the 10 million metric tons maize production for this country. As it will allow our small-scale farmers throughout the country to practice all year agriculture production using irrigation, harnessing and riding on the availability of this power. Part of the funding for the project will be from the Constituency Development Fund, and indeed other players will also come on board to complete our funding envelope. It is the desire of the ministry that the works will commence with immediate effect, soon after the ground-breaking ceremony,” he said.

Phiri said the average price government would be paying for the project was $729 000 per megawatt.

“I will be failing in my duty, if I don’t take this time on behalf of local authorities to thank His Excellency, the President. First of all, for his visionary leadership, but more importantly, for ensuring that local authorities, Councils, take the right place in the development value chain of our country, by allowing us Local authorities to own energy plants, it completely changes our physical architecture. We will have for the first time in history a predictable source of income. Through selling this power to the off taker ZESCO. We express our sincere gratitude to the President for allowing local authorities to have a significant stake in this project,” Phiri said.

“We remain committed as a government, as a ministry to support all the contractors and all the stakeholders in ensuring that this project is timely in delivery and that it remains cost effective. The average price we are paying for this project is $729 000 per megawatt. Which is competitive. To the contractors, we urge you to mobilise immediately after signing, of course upon the securing of all the necessary documents and upon the release of your advance payment. We do not want to come back here and explain why we have not mobilised”.

He further added that about 15,600 jobs would be created from the initiative.

“The estimate is about 100 jobs per constituency. So, if you look at the 156 constituencies, we are looking at about 15, 600 jobs that will be created by these initiatives,” said Phiri.

Meanwhile, speaking on behalf of the Contractors, China Civil Engineering Construction Corporation (CCECC) Managing Director Jacques Lio said it will work closely with the Ministry, local authorities and all stakeholders to ensure timely delivery and successful implementation.