Focus on FOCAC: What is in it For Zambia?

 By Linda Mupemo 

President Hakainde Hichilema (L) held a bilateral meeting with the People's Republic of China President Xi Jinping (R) - Picture courtesy of Mr. Hichilema's Facebook page 

The buzz about the 2024 Forum on China - Africa Cooperation (FOCAC) Summit may be simmering down but its impact is projected to have long-term results in member countries. 

FOCAC was established 24 years ago as an avenue for multilateral partnership between China and 53 African countries. 

The FOCAC Summit is held every three years in either the People's Republic of China or an African country. 

Zambia's Republican President Hakainde Hichilema was among the 53 heads of states who attended the 2024 FOCAC Summit which was held from 4th to 6th September in the People's Republic of China capital city, Beijing. 

This year’s FOCAC Summit was held under the theme, “Joining Hands to Advance Modernisation and Build a High - Level China - Africa Community with a Shared Future.”

President Hichilema held a number of meetings on the sidelines of the FOCAC Summit with some notable players in the energy, agriculture and construction sectors in the world's second largest economic superpower. 

The engagements were aimed at securing support in addressing challenges Zambia is currently grappling with among them energy deficit and food insecurity occasioned by climate change. 

Zambia experienced a devastating El Niño - induced drought during the 2023/2024 farming season which led to crop failure, water scarcity and has ultimately reduced power generation. 

The Southern African country's power utility largely depends on hydroelectricity for power generation. Therefore, the disruption in the rainfall pattern which has resulted in reduced water levels has plunged the nation into an energy crisis. 

In a statement recently released to the media, Zambia Electricity Supply Corporation (ZESCO) Limited Spokesperson Matongo Maumbi said the company's hydropower generation deficit presently stands at over 1, 000 megawatts. 

"Our residential customers will be receiving up to three hours of power daily on a rotational basis," Mr. Maumbi said. 

Suffice to say the energy insecurity has brought Zambia's economy to its knees. However, not all hope is lost as President Hichilema's recent visit to China has shone light at the end of the energy crisis tunnel. 

While in China slightly over a week ago, President Hichilema and his entourage witnessed the signing of three agreements between ZESCO and Power China aimed at promoting energy diversification in Zambia. 

ZESCO and Power China signed an MoU on the sidelines of the FOCAC Summit - Picture courtesy of Mr. Hichilema's Facebook page 

The agreements relate to a framework cooperation agreement for the supply, delivery and installation of rooftop solar system projects in Zambia, the engineering procurement and construction agreement for Kariba North Solar photovoltaic (PV) and an agreement for Kafue Gorge lower solar photovoltaic (PV) power plant in Zambia. 

Mr. Hichilema also witnessed the signing of an MoU between Zesco and China Datang Corporation Limited, one of the largest energy suppliers in China. 

"We have directed both Zesco and China Datang to immediately get to work so that we can address the current energy deficit. China Datang offers the kind of energy mix our country requires to diversify away from our country’s dependence on hydro energy," Mr. Hichilema said.  

Further, Mr. Hichilema held a meeting with LONGi Green Energy Technology Company, one of the world's leading solar manufacturing companies located in China's Xi'an City.

LONGi  company is reported to have expressed willingness to work with the Zambian Government on both short and long-term energy mix programmes. 

"We are determined to diversify our energy mix away from the dependence on hydro electricity which is susceptible to the negative effects of drought as is the case currently due to climate change," Mr. Hichilema said. 

Apart from wooing Chinese investors in the energy sector, President Hichilema and his United Republic of Tanzanian counterpart Samia Hassan were joined by the People's Republic of China President Xi Jinping in witnessing the signing of an MoU with China Railway Construction Corporation (CRCC) for the revitalisation of the Tanzania - Zambia Railway Authority (TAZARA). 

L - R Tanzania's President Samia Hassan, People's Republic of China President Xi Jinping and Zambia's President Hakainde Hichilema witness the signing of an MoU for the revitalisation of TAZARA - Picture by TAZARA

 

The MoU is expected to facilitate the rehabilitation of the 1,860 kilometer worn - out railway which was constructed in the early 70's with support from the Chinese Government. 

Noteworthy is that the railway runs from Kapiri Mposhi in Zambia to Dar es Salaam in Tanzania hence its refurbishment will enhance the transportation of goods such as minerals, agricultural products and also ease passenger movements between the two countries. 

The development will consequently enhance Intra - African trade and regional integration in East and Southern Africa. 

Meanwhile, President Xi stated that the People’s Republic of China’s government has given developing countries which have diplomatic relations with China , including 33 African countries, zero-tariff treatment for 100 percent tariff lines. 

In his keynote address at the opening ceremony of the 8th FOCAC Summit, Mr. Xi stated that the move will turn China’s big market into Africa’s big opportunity.

“China will expand African agricultural products, deepen cooperation with Africa in e-commerce and other areas," he said. 

President Xi additionally unveiled a ten-point action plan that will set the tone for the China - Africa cooperation for the next three years. 

The People’s Republic of China Government promises to partner with African countries in fostering good governance, international trade and investment, industrial chain cooperation, improving agricultural productivity, health care services and green development among others. 

“To implement the ten partnership actions, the Chinese Government will provide RMB 360 billion yuan of financial support through the next three years. This breaks down into RMB 210 billion of credit line, RMB 80 billion yuan of assistance in various forms and at least RMB 70 billion yuan of investment in Africa by Chinese companies,” President Xi said. 

It goes without saying the People’s Republic of China is playing a vital role in enhancing sustainable development in the global south.

The Chinese Government has demonstrated its commitment to supporting African countries graduate from extreme poverty to economic stability by championing mutual civilization, technology transfer  and  joint developmental ventures. 

It is anticipated that the MoUs signed between the Zambian Government and Chinese entities will be actualised so as to address the challenges Zambia is currently faced with, thereby boosting economic growth in the country.