“Powering Zambia”
TDF’s Investment support MPower to promote sustainable energy solutions
By Francis Maingaila
Lusaka, Zambia24 (March 6th, 2024) – The Trade and Development Fund (TDF) of the Eastern and Southern African Trade and Development Bank Group (TDB Group) extended a 3-year USD 2 million term loan to MPower Ventures Zambia Limited, aiming to bolster access to modern and affordable energy solutions across Zambia.
MPower Ventures Zambia Limited intends to utilize the loan to import and retail solar products, diversifying their inventory to include plug-and-play household solar devices and market-driven productive assets.
These offerings are tailored for lower- and middle-income households, SMEs, and farmers in peri-urban and rural areas. Furthermore, MPower Zambia plans to establish 50 new rural energy hubs, facilitating energy access for both domestic and public use while spurring job creation and economic activity in communities without electricity grid access.
Gloria Mamba, Executive Director of the Trade and Development Fund and TDB Southern Africa Coverage Executive, expressed satisfaction with the initiative, emphasizing its role in providing concessional financial solutions to SMEs and promoting green growth opportunities and sustainable development within communities.
Prof. Oliver Saasa, Chairperson and Non-Executive Director of the Trade and Development Fund Board of Directors, underscored the importance of private sector investment in Zambia’s Rural Electrification Master Plan and the government’s strategy to encourage such investments, particularly through solar solutions.
Manuel Seiffe, CEO and Co-Founder of MPower, expressed gratitude for TDB Group’s support, stating that the loan represents significant progress in their mission to enhance access to clean, reliable, and affordable energy solutions in Zambia.
Michael Eschmann, CEO and Co-Founder, and Greg Nau, CFO and Co-Founder, reiterated MPower’s commitment to sustainable development, job creation, and livelihood improvement in communities lacking electricity access. They acknowledged the partnership with TDB Group as pivotal in driving change and promoting green growth opportunities in the region.
The facility agreement was signed during a breakfast meeting attended by various stakeholders, including Jito Kayumba, Presidential Advisor on Economy and Implementation, Subeta Mutelo, Permanent Secretary of Energy and SMEs, Johannes Hertlein, Country Director MPower Zambia, and CEOs. Discussions during the panel session focused on opportunities for financing renewable energy in Zambia.
TDB Group remains dedicated to supporting member states in achieving their national priorities by offering innovative financing solutions in critical sectors that foster sustainable development.