The Herald reported that Old Mutual Zimbabwe has partnered with a local independent power provider for the development of a 20 megawatt solar project on rooftops of some buildings owned by the biggest insurance company in Zimbabwe.
Oxygen Energy Private Limited, secured a $1 million external grant from the African Development Bank (AfDB) for the project which is expected to ensure steady supplies of electricity to tenants renting Old Mutual facilities covered by the project.
Zimbabwe’s sole electricity provider ZESA has over the years been failing to provide a steady flow of electricity and power cuts and load shedding have hampered the growth of many SMEs who do not have the capacity to buy alternative power sources like generators or solar energy.
“The project will provide reliable and competitive solar power to multiple SMEs throughout the country,” said the AfDB in a statement.
It is also estimated that the project will result in the reduction of diesel used as alternative energy by around 12 million litres; saving the country millions of dollars.
This development comes as a relief to many SMEs who have seen their operational costs increasing to the increase of electricity charges by Zimbabwe’s sole electricity provider.