The Office for Promoting Private Power Investment(OPPPI) was established in 1998 by Government in order to promote private sector participation in the development and implementation of projects by the private sector. The OPPPI coordinated the implementation of projects such as the 300 MW Maamba Coal Fired Power Plant, 120 MW Itezhi-Tezhi Hydroelectric Power plant, 750MW Kafue Gorge Lower Hydroelectric Power Project and the Zambia-Tanzania-Kenya Power Interconnector Project. Currently the OPPPI is coordinating feasibility studies for a combined capacity in excess of 2000MW, with some of the projects currently at the stage of PowerPurchase Agreement negotiations.
Despite the various measures and interventions by government, most of the projects being undertaken have stalled and failed to reach financial close mainly due to the low tariffs that have been found inadequate and unsustainable to guarantee return on investment by the respective developers. Other factors that have contributed to low investment in power developments are bureaucratic processes that govern the issuance of licenses,permits and approvals administered by various government agencies