Key Takeaways
- Globeleq acquires 51% of Lunsemfwa Hydro Power Company, marking its entry into Zambia’s energy sector.
- Lunsemfwa operates two hydroelectric plants and is expanding its solar portfolio to enhance energy trading.
- Globeleq’s investments in Zambia include a 40 MW solar project and a 150 MW solar-battery facility.
Strategic Acquisition by Globeleq
Globeleq, a leading independent power company in Africa, has secured a 51% equity stake in Lunsemfwa Hydro Power Company (LHPC) from Norfund, Norway’s development finance institution. This acquisition marks a significant foray for Globeleq into the Zambian energy market and the South African Power Pool (SAPP). The remaining 49% of LHPC is held by Wanda Gorge Investments, a local infrastructure investment firm.
LHPC currently operates two hydroelectric plants with a total capacity of 56 MW and is in the process of constructing a 27 MW solar photovoltaic project. The company has ambitious plans to develop a 200 MW solar portfolio alongside other hydropower expansions.
Located in Zambia’s Central Province, LHPC supplies electricity to ZESCO, the national utility, under a long-term power purchase agreement and also serves private entities like Copperbelt Energy Corporation. LHPC’s SAPP trading license will enable it to actively participate in regional energy trading, enhancing its market capabilities.
This acquisition is pivotal for Globeleq as it not only adds hydropower to its portfolio—which already includes solar, wind, and energy storage solutions—but also opens avenues for active trading in the SAPP.
Zambia is a strategic focus for Globeleq, which has just established a new office in Lusaka to support project development and partnerships. In addition to the LHPC investment, Globeleq is progressing on other significant projects in the country. The 40 MWac Kafue Solar project, interfacing with ZESCO and the Zambian Government, is set to reach financial closure in Q1 2026. Also in the pipeline is the Leopard’s Hill project, a notable 150 MWac solar PV plant that will integrate a 150 MW / 600 MWh battery, with financial closure expected later in the year.
Jonathan Hoffman, CEO of Globeleq, expressed optimism regarding the partnership, emphasizing that LHPC’s operations and growth strategies align well with the company’s vision in Zambia’s energy sector. Norfund’s Investment Director, Øystein Øyehaug, highlighted the synergies created by this collaboration, aimed at bolstering LHPC’s performance and driving sustainable energy development in Zambia.
Globeleq, which operates a diverse portfolio generating 1,850 MW across eight African countries, aims to support the regional energy transition as it continues to invest in renewable energy solutions.
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