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Most big oil companies reported a sharp falls in profits in Q2 2023, but Africa still figures prominently in results and future plans – and where it doesn’t majors are able to divest at least some of their more attractive assets.

Zesco has signed a power purchase agreement with Nigerian company Africa Consolidated Services Group (ACSG) for new solar thermal capacity. It is the state-owned utility’s third major solar power deal this year, and a sign that Zambia is trying to reduce its dependence on hydroelectric power

India’s Nava Bharat Ventures (NBV) is seeking support from the Zambian government to raise finance to double output at its Maamba Collieries Ltd (MCL) coal-fired power plant, after Chinese lenders that backed the initial phase proved unwilling to fund the planned expansion.

Numerous high-level American delegations have visited Africa this year, as Washington seeks to counter Chinese influence around the continent and emphasise its interest in striking mutually beneficial trade and investment deals, but African governments are pushing for better terms of trade and an extension of the soon-to-lapse Agoa trade deal, writes Tonderayi Mukeredzi recently in Gaborone.

A novel debt restructuring deal between Zambia and its bilateral creditors should pave the way for Lusaka to finally receive new assistance from the International Monetary Fund (IMF) and, in time, move beyond its debt defaulting status with credit ratings agencies. The deal could help to relieve pressure on debt-stressed state utility Zesco but, as so often, the devil resides in the detail and some significant elements have yet to be put in place, including a critical agreement with private creditors that could involve further tough negotiations with Beijing.

Control over African mineral reserves means governments now hold a lot of the cards in negotiating with corporations and political leaders, during a period of rising global demand and shifting power balances. Industry players now argue that more equitable partnerships may finally be on the table.

Sceptics argue that the World Bank Group’s Scaling Solar programme can distort markets, whereas its backers say it opens the door to increased and sustainable renewable energy investments by independent power producers. Marc Howard and African Energy staff have canvassed a variety of opinions on a major electricity supply industry initiative.

Lagos-headquartered multilateral the Africa Finance Corporation (AFC) has set out its stall as a financier and partner for the continent’s energy transition, with a strategy to support renewable energy and critical minerals projects around the continent, as well as the development of battery manufacturing supply chains. The AFC also plans to continue supporting short- to medium-term energy needs by backing upstream and midstream gas projects and gas-to-power (GTP) developments. Marc Howard spoke to AFC executive director and chief investment officer Sameh Shenouda during the recent Africa Energy Forum in Nairobi.

Zambia has issued a general procurement notice inviting consultants to carry out full feasibility studies for the development of a 40MW grid-connected wind power plant. A request for submission of expressions of interest (EoI) is expected to follow in coming weeks.

With Anglo American re-entering Zambia after two decades away and Sibanye-Stillwater exploring a bid for Mopani Copper Mines, renewed international mining interest is much welcomed by Lusaka, which has rolled out the welcome mat for investors

Establishing a reliable financial framework for building cross-border power interconnections may be the single most effective way to improve electrification across sub-Saharan Africa. Yet bureaucratic impediments are holding up progress at an important scheme, the Southern Africa Power Pool (Sapp)’s Regional Transmission Infrastructure Financing Facility (RTIFF), which could implement its first projects in two to three years – with the right support.

Copperbelt Energy Corporation (CEC) managing director Owen Silavwe has outlined hopes for the private utility to reach an agreement with Konkola Copper Mines (KCM) over outstanding debts of $192m. CEC has also set a target date for the commissioning of its 60MW Itimpi solar plant and provided an update on its DR Congo plans.

Zambia’s Energy Regulation Board (ERB) has consented to state utility Zesco’s request to raise electricity tariffs for domestic consumers but rejected its application to cut a ‘lifeline’ tariff band for vulnerable residential customers from 100kWh to 75kWh per month.

Zambia is to send a team of technocrats to Mozambique in May to discuss imports of liquefied natural gas (LNG) and power, according to energy minister Peter Kapala. The potential development of a cross-border rail line is also likely to be on the agenda.

State utility Zesco has signed a $3.4bn power purchase agreement (PPA) with China’s Integrated Clean Energy Power Company (CiEG) covering up to 2.4GW of solar capacity, which will be developed over several phases. The agreement was signed at Zesco’s headquarters in early April.