The international financing institution announced that the winning developers and relevant Zambian government agencies are in the process of concluding their agreements, which are expected to be finalised in May 2017.
The Bank stated that on Tuesday its board of directors approved a package of financing and guarantees for one of the two winning bidders and will review the same for the second winner in the coming weeks.
This is Zambia’s second engagement with Scaling Solar and it follows successful auctions held in May 2016 for two solar PV plants of up to 50MW each that attracted some of the world’s top renewable energy developers.
Acting Chief Executive Officer of IDC Zambia, Mateyo C. Kaluba, said: “Completing a first solar public-private partnership in a country is a massive undertaking.
"The package of bankable documents, transaction structuring advice, and research that Scaling Solar provided saved us considerable time, attracted more competitors, and ensured a successful process."
For this project, the IDC Zambia will work closely with the ministry of energy to realise its success.
The solar project is expected to comprise the structuring and tendering of up to four solar plant projects of 50MW to 100MW each.
Each plant will be developed by different private sector sponsors through an open and competitive bidding process.
IFC Director of Eastern and Southern Africa, Oumar Seydi, also commented: “The partnership between Scaling Solar and IDC Zambia is successfully delivering the affordable renewable energy needed to ease the country’s ongoing energy crisis.”
“Access to electricity is vital for achieving development goals. In Zambia, Scaling Solar has helped create a market that will make it easier for the public and private sectors to work together to meet the country’s energy needs and expand opportunities for families and businesses.”