Zambia’s energy mix is heavily dominated by hydropower, which provides roughly 82–88% of its electricity, making it vulnerable to droughts. Total electricity capacity is approximately 3,871 MW. The remainder of the power sector consists of coal (about 9%), solar (3%), and heavy fuel oil (5%).

Zambia is actively developing a green hydrogen industry to diversify its energy mix, reduce reliance on climate-vulnerable hydropower, and support agricultural (fertilizer) and mining sectors. Key projects include a large-scale, grid-connected solar-powered hydrogen plant by GEI Power in the Southern Province.

Key developments and insights include:

• Key Projects: GEI Power is developing a major project in the Chikankata district (Southern Province) utilizing grid-connected solar PV. Another initiative, “Matta Power” in the Kafue District, focuses on producing green hydrogen for ammonia-based fertilizers and mining explosives.
• Feasibility & Costs: Research indicates that producing green hydrogen using Zambia’s existing grid power is feasible, with costs estimated around US$$$7 per kilogram. However, standalone, off-grid systems are currently more expensive and technically challenging.
• Strategic Drivers: The shift is driven by the need to combat energy shortages caused by droughts affecting hydropower, along with a push for localized fertilizer production.
• Industry Focus: The focus is on industrial applications (mining, fertilizer) rather than immediate household use, which would require much lower costs (US $0.60 to $1.20 per kg).