Eight potential German ‘energy’ investors expected in Zambia

Markus Wolf with Anthony Mukwita

Eight potential German investors are expected in the country in the next few weeks to explore investment opportunities in the energy sector.

Zambia’s Ambassador to Germany Anthony Mukwita says the S A-German Chamber of Commerce and Industry Project Manager Markus Wolf has assured him that the investors will be coming following recent policy decisions by the Zambian government to remove energy subsidies.

Mr. Wolf made the disclosure to the Zambian Ambassador in Germany Friday during an Information Workshop on investment opportunities in the Zambian energy sector organized by the GIZ, a German government international investment wing.

Mr. Mukwita says the bold decision by President Edgar Lungu to scrap subsidies that kept tariffs in the energy sector artificially low is beginning to yield positive economic results as more and more foreign companies beat the investment path leading to Zambia.

The Zambian envoy says the investment climate in the energy sector is now attractive following the removal of subsidies that had characterized the sector for over 40 years in Zambia.

In reference to this decision, Mr. Wolf told the Zambian envoy that “the high interest the Zambian energy sector is receiving” is due to the removal of tariffs that had suppressed prices thereby making investment in the sector unattractive.

He says with the Zambian economy already on an upward growth trajectory, the removal of subsidies can only bring more and more growth in the country.

He adds that the growth is spurred by development policies in the agricultural, tourism, mining, energy and other sectors.

This is contained in a statement issued to QTV News by Zambia’s embassy in Germany First Press Secretary Kellys Kaunda.