The World Bank has approved a credit facility of 26.5 million U.S Dollars to the Rural Electrification Authority -REA- to accelerate electricity access for rural areas in Zambia.
REA Chief Executive Officer, Geoffrey Musonda has told journalists during a media briefing in Lusaka yesterday that direct beneficiaries will be those in areas where the grid is readily available as they will be connected to it at a subsidised rate of 2 hundred and 50 Kwacha.
Mr. Musonda says the ‘Electricity Services Access Project’ is targeting about 22 thousand low income households and about 1 thousand medium and small-scale enterprises in Rural areas.
He explained that one of the components of the project is to provide subsidies and finance network reinforcements for on-grid electrification.
Mr. Musonda noted that despite the Authority creating electricity infrastructure in rural areas, the level of uptake has remained low due to high connection fees.
He further said the Project will be implemented between 2017 and 2022 and that those in more dispersed areas will benefit from independent solar systems or separate mini-grids.