By Jonathan Mbiriyamveka
UN Resident and Humanitarian Coordinator Mr Edward Kallon has called on private sector to invest in Zimbabwe’s renewable energy landscape to ensuring that financial returns are accompanied by positive social and environmental impacts.
Speaking at the launch of Renewable Energy Fund in Harare on Friday, Mr Kallon said the fund was a significant milestone for Zimbabwe’s journey toward a sustainable and prosperous future.
“Renewable energy presents not just a solution to our current challenges, but a pathway toward a more sustainable, resilient, and prosperous Zimbabwe.
“The Renewable Energy Fund is a testament to what we can achieve when we unite our efforts toward a common goal,” Mr Kallon said.
Mr Kallon said the Renewable Energy Fund (REF) managed by Old Mutual was established to provide the much-needed financial support for renewable energy projects across Zimbabwe.
“This Fund will not only accelerate the deployment of renewable energy solutions but will also bring economic returns and social impact.
“What sets this Fund apart is its innovative blended finance model. By leveraging both public and private capital, the REF will finance projects that are both bankable and socially impactful.
“This model has been designed with sustainability at its core—ensuring that investments are viable while achieving key SDG targets, including energy access (SDG 7), climate action (SDG 13), and gender equality (SDG 5),” Mr Kallon said.
He said while the government has created an enabling policy environment with deregulated electricity markets, favorable independent power producer (IPP) licensing, and tax incentives, significant barriers remain.
“Inadequate local financing, currency risks, off-taker risks, and cost-reflective tariffs are some of the major challenges that limit private sector investment in renewable energy projects,” he said.
He said Old Mutual had set a strong example of how the private sector could be a driver of change.
“I call on other private sector actors to seize the opportunity to invest in Zimbabwe’s renewable energy landscape, ensuring that financial returns are accompanied by positive social and environmental impacts,” he said.
“Old Mutual, through its management of the REF, is demonstrating the power of aligning private capital with public development goals. Together with the government and the UN, this partnership is addressing critical financing challenges, making it possible to unlock the potential of renewable energy in Zimbabwe.”
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