Vungu Solar Inks Agreement to Launch Zimbabwe’s First Internationally Financed 30MW Solar Project

Vungu Solar Pvt Ltd has signed a Government Project Support Agreement (GPSA) with the Government of Zimbabwe for the 30MWac Vungu Solar project. This project is set to be one of Zimbabwe’s first internationally project-financed solar Independent Power Producers (IPPs) selling power to the Zimbabwe Electricity Transmission and Distribution Company (ZETDC).

Vungu Solar will use standardized, bankable project documentation developed by the government to attract future solar investments. The GPSA is designed to de-risk investments through guarantees, cost-reflective tariffs, and currency convertibility provisions, providing a strong foundation for Zimbabwe’s solar sector growth. It is backed by African Legal Support Facility (ALSF) and a cross-government team led by the Ministry of Energy and Power Development.

Honourable Minister July Moyo, the Zimbabwe Minister of Energy and Power Development, said “The Government is ambitious about making progress in the energy sector, and so this occasion is very important. The Vungu Solar project aligns well with the Zimbabwe National Renewable Energy Policy which aims to significantly increase the contribution of renewable energy sources to the country’s overall energy mix. I congratulate all those involved.”

Omar Jabri, PIDG Head of Business Development (Africa) for InfraCo, said, “Today’s signing here at AEF is a milestone for the Government of Zimbabwe’s ambitious programme to attract private sector and development finance into Zimbabwe’s solar sector. PIDG is proud to be working with our partners at Energywise and Impala to pioneer the use of its suite of bankable, standardised project documentation which, it is anticipated, will attract future investment into the scale-up of Zimbabwe’s renewable energy sector. Once built, Vungu Solar will add 30MWac of clean, solar power to Zimbabwe’s national grid, reducing emissions and improving the reliability of power for customers which will, in turn, promote  wider economic development.”

CEO of Energywise. Eng. Culven Chipfumbu added, “The signing of the GPSA is a milestone achievement for Vungu Solar as the pilot IPP for the GPSA programme, and this now gives Vungu Solar confidence to negotiate construction funding for the project, backed up by this very important government instrument.”

The Vungu Solar project aligns closely with Zimbabwe’s national goals of achieving universal household electricity access and expanding clean energy options by 2030. It also advances global Sustainable Development Goals by promoting affordable clean energy (SDG 7) and climate action (SDG 13).