Source: The Herald – Breaking news.
Energy and Power Development Minister July Moyo outlined Zimbabwe’s urgent need for modernised infrastructure and private sector engagement to tackle its energy shortfalls. 
Ivan Zhakata-Herald Correspondent
ZIMBABWE is courting US private sector investment to revitalise its energy sector, with Government officials outlining an ambitious blueprint for the future at the World Bank’s Spring Meetings in Washington DC.
Energy and Power Development Minister July Moyo and Finance, Economic Development and Investment Promotion Professor Mthuli Ncube, presented Zimbabwe’s energy landscape to potential investors during the recently concluded Spring Meetings.
They showcased the critical role of private sector capital in overcoming the country’s energy challenges.
The discussions, which centred on Zimbabwe’s energy needs, opportunities for growth and long-term goals were a clear invitation to American investors to consider the country’s energy market as a promising destination.
Minister Moyo outlined Zimbabwe’s urgent need for modernised infrastructure and private sector engagement to tackle its energy shortfalls.
With outdated systems and the adverse effects of climate change hitting hydroelectric power production, the Government has called for innovative, private-driven solutions to create a more sustainable and reliable energy future.
Minister Moyo said private investment was the key to transforming Zimbabwe’s energy landscape.
“We are open for business and committed to providing a conducive environment for investors. The energy sector is a core pillar for Zimbabwe’s economic recovery, and we want US companies to be part of that journey.”
Zimbabwe’s energy sector has been on a transformative trajectory with increasing demand for electricity due to limited access to energy in both rural and urban areas.
According to Government reports, more than 6 000 households in urban centres are still without access to the national grid.
Yet, there is substantial potential for private investors to play a role in filling this gap.
One of the standout initiatives discussed was the Government’s push for smart metering solutions, particularly in underserved areas like Caledonia, Harare South and Gimboki.
These regions represent significant growth opportunities, with the Government offering licenses to private developers to act as energy retailers, facilitating quicker access to electricity for consumers.
To reassure potential investors, Minister Ncube addressed concerns about profit repatriation and currency volatility, two issues that have often posed challenges for foreign investment in Zimbabwe.
He assured US investors that the Government has put mechanisms in place to guarantee the repatriation of profits, thus making it easier for them to transfer funds back to the US when needed.
“We have guarantees in place to ensure that investors can repatriate their profits without hurdles,” Minister Ncube said.
“Additionally, the Reserve Bank of Zimbabwe will ensure access to foreign currency for transactions involving US investors. Zimbabwe is open for business, and we are keen to partner with American firms in the energy sector.”
The centrepiece of the discussions was the unveiling of Zimbabwe’s Energy Compact, a strategic framework that will be signed in London by President Mnangagwa in June 2025.
This Compact is expected to serve as a formal blueprint for private sector involvement, outlining the country’s commitment to sustainable energy practices while offering investor protections.
Minister Moyo said the Compact was developed through extensive consultations with various sectors of the economy, ensuring a clear, long-term roadmap for investors and promoting sustainability in the energy sector.
While there are concerns about carbon credits, Minister Moyo reassured US investors that Zimbabwe’s national strategy on carbon credits was both robust and well-defined.
Although some investors may be attracted by the potential for carbon credits, Zimbabwe is committed to managing these credits effectively, ensuring that investments align with both the country’s interests and global sustainability goals.
As the World Bank Spring Meetings concluded, Zimbabwe’s message was loud and clear: the country is ready to transform its energy sector and is eager to attract US investors to join in the transformation.
With its rich natural resources, a growing commitment to energy reform, and a Government that is actively creating a favourable investment environment, Zimbabwe offers significant opportunities for US companies in the energy sector.
The upcoming signing of the Energy Compact in June and the Government’s focus on private-sector involvement could make Zimbabwe a key player in shaping Africa’s energy future.
With these developments, US investors now have a real chance to partner with Zimbabwe in an exciting and lucrative energy market—one that holds promise for both long-term returns and a positive impact on the country’s economic growth.
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