CEC Renewables Marks Milestone with First Green Bond Coupon Payment
CEC Renewables, a subsidiary of Copperbelt Energy Corporation PLC (CEC), has proudly announces its first Green Bond coupon payment of USD 2.4 million.
This payment marks the sixth month anniversary of the bond, making it tradeable on the Lusaka Securities Exchange. This milestone underscores the role and viability of Green Bond investments in Zambia and highlights CEC Renewables’ commitment to delivering value to both the country and its investors.
In partnership with CEC PLC, CEC Renewables launched Zambia’s first USD 200 million Green Bond Program, successfully issuing the first tranche of $53.5 million on December 21, 2023.
The proceeds from this Green Bond have financed the Company’s existing 34MW Solar Plant in Riverside, Kitwe, and the development of a 60MW Solar Plant in Itimpi, Kitwe.
The Itimpi Solar Plant, commissioned on April 11, 2024, has already contributed 23.5GWh of renewable energy to the grid. To date, both plants have collectively generated 47.4GWh of clean energy.
Hilton Fulele, Asset Manager at CEC Renewables, expressed his satisfaction with the first coupon payment, stating, “The payment of our first coupon not only demonstrates the viability of Green Bond investments for Zambia but also affirms our commitment to ensuring we deliver value to our investors.”
CEC PLC Group Chief Executive Officer, Owen Silavwe, emphasized the significance of CEC Renewables within the group’s sustainability strategy.
He stated, “The establishment of CEC Renewables is an integral part of our sustainability strategy and our focus on bridging the energy gap in the country.
This is particularly important at a time when alternative financing is key to accelerating the development of energy projects. We look forward to developing more renewable energy projects through CEC Renewables to meet our Group’s sustainability ambitions and further diversify Zambia’s energy mix.”
The CEC Renewables’ Green Bond is a 15-year bond, and the company plans to issue the next tranche within the year to develop an additional 130MW at its Itimpi site in Kitwe.
By raising finance through Green Bonds, CEC Renewables aims to align its funding approach with its broader corporate mission, which includes sustainability objectives and a medium-term goal of generating up to 300MW of solar energy.
CEC Renewables remains committed to driving the growth of renewable energy in Zambia and contributing to the country’s energy transition.
With its successful Green Bond program and ongoing renewable projects, CEC Renewables is well-positioned to significantly impact Zambia’s energy landscape.
