Client
Ministry of Water, Energy and Minerals (MoWEM), Zanzibar Electricity Corporation (ZECO) / Zanzibar Utility Regulator (ZURA)
Sector
Energy | Renewable Energy | Regulation & Policy
Location
Zanzibar, Tanzania
Funded by
Foreign, Commonwealth & Development Office | Palladium
Project Overview
Lumen is supporting the development and roll-out of a Net Metering framework for Zanzibar, enabling electricity customers who generate their own solar energy to export surplus power back to the grid and receive credit on their bills. This initiative is a cornerstone of Zanzibar’s energy transition strategy, increasing renewable energy adoption, reducing the island’s dependence on imported fossil fuels, and creating a pathway for private investment in distributed solar generation.
Lumen also provided advisory services to support the development of formal Net Metering Regulations for Zanzibar. This regulatory work underpins the broader Zanzibar Net Metering Project by establishing the legal and commercial framework within which electricity consumers can generate their own solar power, export surplus energy to the grid, and receive fair compensation. The regulations are designed to attract private investment in distributed solar generation while protecting the financial sustainability of the utility.
Scope of Work
Lumen’s engagement covers the design of the net metering policy framework, development of technical and commercial guidelines, regulatory review and approval support, and capacity building for the utility and regulator. The project also includes stakeholder engagement with electricity consumers, solar developers and financial institutions to stimulate market uptake.
Expected Impact
The project is expected to unlock a new category of private solar investment in Zanzibar, reduce energy costs for consumers, lower peak demand on the grid, and potentially position Zanzibar as a model for net metering policy in East Africa.
