ZESCO has signed a 25 year Power Purchase Agreement (PPA) with Gouli Energy Limited for the development of the country’s first thermal power plant in Livingstone’s Mukuni area.
The first phase of the project, which will generate 135 megawatts is expected to be commissioned in October this year while a second 135 megawatt phase will follow later, bringing the plant’s total generation capacity to 270 megawatts.
This is aimed at ensuring that the country never goes back to the time of load shedding.
The power project has already created employment opportunities with about 300 workers drawn from Mukuni Village and other parts of Southern Province.
Speaking during a media tour of the project site yesterday, Zesco chief operating officer Fitzpatrick Kapepe said the power utility and Gouli Energy had structured a bankable agreement under which Zesco would be the sole purchaser of power generated by the plant for the next 25 years.
Kapepe said the thermal plant would strengthen Zambia’s energy security by providing power even during periods of low water levels.
“When we have low water levels, we will still have backup power. The advantage of having such a plant is that it helps us preserve water. The use of charcoal will also be minimised during crises because we will have power. This power will start flowing into our national grid by October this year,” said Kapepe.
Meanwhile, Zesco director for transmission, operations and trade Lyoko Sitali said the project would help diversify the country’s energy mix and reduce dependence on hydropower.
“Gouli Power Station is a thermal plant with two units of 135 megawatts each. This means a lot to us as Zesco because it adds another 135 megawatts in the first phase to the country’s installed capacity of over 3,800 megawatts. We are trying to improve and diversify our energy mix away from dependence on hydro power,” said Sitali.
“We will be getting the 135 megawatts throughout the year, whether there is drought or not. During droughts, we will be able to lean on this station to get the power we need. The first phase is expected to come online this October and is currently about 70 percent complete.”
And Gouli Energy Zambia Limited human resource manager Moono Mufaya said the company had prioritised local employment.
Story and pictures by Catherine Pule
Kalemba, June 19, 2026
