In a landmark announcement at the COP 28 Climate Summit in Dubai, Zambia's Copperbelt Energy Corp. Plc (CEC), an electricity generation company, has unveiled the successful registration of its $200 million Green Bond with the Securities and Exchange Commission. This groundbreaking development marks Zambia's entry into the green financial market, signaling potential growth in green finance. The Green Bond program aimed at expediting CEC's ambition to generate a minimum of 200 megawatts of renewable energy, particularly focusing on solar energy, with potential storage implementations.
During the announcement, the company highlighted its commitment to Zambia's green energy transition, initiated five years ago with a focus on solar generation. Lead arrangers Cygnum Capital, alongside cornerstone investors Emerging Africa Investment Fund (EAIF) in partnership with Absa Group, played crucial roles in the success of the Green Bond. The initiative aligns with Zambia's Green Growth strategy, emphasizing resource efficiency, low carbon footprint, climate resilience, and social inclusivity for sustainable development. The Green Bond, with an initial tranche of $54 million, is set to close by the end of the year, demonstrating how strong sponsors and transparent policy frameworks can drive private sector solutions for the green energy transition.