European Investment Bank Vice president Plutarchos Sakellaris said upgrading the Kafue – Livingstone transmission line will assist the Zambian Government’s efforts to ensure that a reliable supply of energy can keep pace with economic growth in Zambia and improve electricity distribution across southern Africa.
"The European Investment Bank is committed to supporting the Zambian energy sector and contributing to global goals highlighted by the 2012 International Year of Sustainable Energy for All," Sakellaris added.
The upgrading program of the 341km long transmission line will include constructing new substations and increasing the overall capacity of the transmission to 360MW from 120MW.
Upgrade of the transmission line will also increase the region’s access to hydropower and reduce the country’s dependency on oil and coal generated power and will reduce the electric blackouts.
EU-Africa Infrastructure Trust Fund will also support the upgrade scheme through its grant of €5.55m which include €5.2m interest rate subsidy and €350,000 ($446,873) Technical Assistance Grant to procure and monitor.
The total cost of the project is expected to be $100m which will be co-financed by the European Investment Bank, the World Bank and by the project Promoter, the Zambia Electricity Supply Corp.
The project is anticipated to be completed by the end of 2014.
