Copperbelt Energy Corporation PLC Set to Inaugurate 60Mw Solar Plant

Copperbelt Energy Corporation PLC Unveils Cutting-Edge 60MW Solar Plant: A Milestone in Sustainable Energy Innovation

by Vincent Godstime

The Copperbelt Energy Corporation PLC (CEC) is a company that currently operates a 34 megawatts (Mw) solar plant and is constructing a 60Mw solar plant which is targeted for commissioning in the first quarter of this year. CEC recently announced that the first tranche subscription towards their $200 million green bond program was oversubscribed by over 178%, with the first tranche of $53.5 million being issued as a private placement and closed on December 28, 2023. The investors in the Green Bond include the Emerging Africa Investment Fund, ABSA Bank, Atlas Mara Bank Zambia, and the African Local Currency Bond (ALCB) Fund.

The financing raised through the Green Bond allows CEC to continue financing renewable energy development while also aligning with its strategy. The issuance of this bond is an affirmation of their commitment to achieving their flagship 200 megawatts (Mw) of solar energy. This bond provides an opportunity for a diversified investor class to participate in a green and tradable instrument.

Cygnum Capital, the bond’s lead arranger, stated that the bond is Zambia’s first non-recourse project bond and the first to be issued locally under the ICMA Green Bond Principles. This demonstrates CEC’s leadership and impact while also providing a flexible and scalable structure to roll out its renewables pipeline.

The proceeds from the bond will be deployed towards further solar generation investments and associated transmission infrastructure, helping CEC move closer to their green energy generation ambitions of 200Mw of solar energy generation. This successful issuance of the first green bond marks a clear demonstration of alternative financing options for the much-required diversification of energy sources in Zambia.


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