Old Mutual Renewable Energy Fund a game changer
Old Mutual Zimbabwe has taken a significant step towards supporting the country’s energy needs by launching the Old Mutual Renewable Energy Fund.
The fund aims to provide critical capital to renewable energy projects, focusing on solar power, which has seen tremendous growth in Zimbabwe due to its potential to alleviate power shortages and reduce dependence on non-renewable energy sources.
In a statement, Old Mutual Zimbabwe highlighted the importance of renewable energy for the nation’s future.
“The Old Mutual Renewable Energy Fund is a pivotal initiative designed to accelerate investments in renewable energy projects that provide sustainable long-term returns, while supporting Zimbabwe’s broader energy transition and economic development goals,” the company said.
“Our goal is to not only generate returns for our investors, but also to drive the growth of clean, affordable and accessible energy across Zimbabwe.”
The fund is aligned with several United Nations Sustainable Development Goals (SDGs), including SDG 7, which focuses on ensuring access to affordable, reliable, sustainable and modern energy for all. It also supports goals related to gender equality, economic growth and climate action.
Solar energy is a key focus of the fund, as Zimbabwe enjoys abundant sunshine, making it an ideal location for solar photovoltaic (PV) installations.
According to industry experts, solar capacity has grown rapidly in recent years, driven by both private sector investment and government initiatives. However, financing remains a challenge for many developers, which is where Old Mutual’s fund can play a crucial role.
The fund will primarily target unlisted energy companies or projects engaged in alternative energy and energy technologies in Zimbabwe.
“We are particularly excited about the potential for solar energy projects,” Old Mutual noted.
“These projects have the dual benefit of reducing our carbon footprint while also addressing the country’s chronic energy shortages. With the right investments, solar can become a cornerstone of Zimbabwe’s energy future.”
Zimbabwe has experienced significant energy challenges over the past decade, with frequent power outages and an over-reliance on hydroelectric power, which has been affected by erratic rainfall patterns.
Solar energy, being a more reliable and scalable solution, has become increasingly attractive. The government has implemented several policies to encourage investment in solar energy, and the private sector has responded, with several large-scale solar projects either underway or in the planning stages.
As Old Mutual continues to promote renewable energy investments, the company sees this fund as a long-term strategy to not only generate financial returns, but also contribute to Zimbabwe’s environmental sustainability and energy independence.
“We believe that renewable energy is the future, and we are committed to playing our part in building that future for Zimbabwe,” the company said.-esinessweekl
