Supporting His Excellency President Hakainde Hichilema’s decision to accelerate the deployment of mini-grids through the 1000 Mini-grid Initiative, the Zambian government has introduced a new financial mechanism to assist mini-grid developers: the Demand Stimulation Incentive. Facilitated by The Rockefeller Foundation in collaboration with the Global Alliance for People and Planet (GEAPP) and Sustainable Energy for All (SEforALL), this unique incentive is designed to help overcome obstacles for mini-grid deployment, ultimately increasing energy access for the people of Zambia.
The Demand Stimulation Incentive aims to support rural development by powering productive energy uses in communities that currently lack access to reliable electricity. By offering grant-based subsidies, the incentive encourages mini-grid developers to quickly connect small businesses and public institutions, stimulating income generation and economic activity in these areas.
Initially, the incentive will focus on deploying mini-grids in 100 priority sites, benefiting 30,000 rural Zambians and impacting the lives of over 100,000 individuals by providing electricity to schools, hospitals, and other community facilities. Improving access to reliable and affordable energy remains a key priority for the Zambian government, essential for driving economic development in the country.
The launch of the 1000 Mini-grid Initiative during COP28 represents a significant step forward in Zambia’s journey towards sustainable development and improved energy accessibility. With support from The Rockefeller Foundation, GEAPP, and SEforALL, the initiative aims to address energy accessibility challenges and foster growth in critical sectors such as agriculture, energy, and rural development, ultimately aiming to reach one million people in the coming years.
“Zambia is dedicated to transforming its energy landscape, and the 1000 Mini-grid Initiative lays a solid foundation for providing reliable, affordable, and modern energy to rural communities. This collaborative effort with our valued partners, The Rockefeller Foundation, GEAPP, and SEforALL, holds promise for economic development, job creation, enhanced education, and healthcare.” —His Excellency Hakainde Hichilema, President of the Republic of Zambia
“Zambia is leading the way with its vision to accelerate mini-grid electrification in communities that have long been without reliable and affordable energy. Achieving this vision requires collaboration among stakeholders including public institutions, private entities, philanthropies, donors, investors, and communities themselves. The Rockefeller Foundation is proud to support this innovative approach to unleash the power of Distributed Renewable Energy for expanding opportunities while addressing climate change concerns.” —Dr. Rajiv J. Shah, President of The Rockefeller Foundation
“The 1000 Mini-grid Initiative exemplifies Zambia’s commitment to the Sustainable Development Goals, particularly SDG7. The Demand Stimulation Incentive unveiled today is an immediate solution to help unlock the mini-grid market in Zambia. This incentive is expected to accelerate the closure of current energy access gaps, enhancing Zambia’s energy security and promoting economic growth, creating new possibilities for millions of Zambians.” —Damilola Ogunbiyi, CEO and Special Representative of the UN Secretary-General for Sustainable Energy for All, and Co-Chair of UN-Energy
“GEAPP is honored to support H.E. President Hichilema’s vision of establishing a resilient, sustainable, and equitable energy system by deploying Distributed Renewable Energy (DRE) systems to enhance access in communities where they offer the fastest and most cost-effective electrification solution. The implementation of this Demand Stimulation Incentive will assist mini-grid developers in working with communities to boost energy usage for productive purposes and encourage public institutions to connect to sustainable electricity.” —Joseph Ng’ang’a, Interim CEO at the Global Energy Alliance for People and Planet (GEAPP)