Govt ourts Pension Funds

LIVINGSTONE MARUFU

Government has urged pension funds to invest in the energy sector, citing the liberalisation of the industry and the high returns being recorded in power generation, Energy and Power Development Minister, July Moyo, has said.

The Minister’s call comes as authorities continue to liberalise the sector, seeking to attract both local and international investors and finally end the country’s four-decade-long power crisis.

Speaking at the SADC 2026 Sustainable Energy Week official launch in Harare this week, Moyo encouraged local investors to lead in renewable energy projects before international players step in.

“I come from a situation where looking at state pension funds and National Social Security Authority (NSSA), these two organisations were driving the investments in the sector. Now you can see the appetite that state pension has. We have been working together with Old Mutual and others in Mutirikwi on the 5MW project. This is the highest earning for the state pension funds but they only have 10%. So with that, there is more appetite for more pension funds,” Moyo said.

He added that Old Mutual and partners are finalising a 10MW project and planning a 100MW project, demonstrating their growing capacity to deploy capital. In Mutirikwi, the state pension funds have partnered with other financial institutions.

“Old Mutual, which is an insurance business, has made some serious investments there and in Tugwi Mukosi where they are doing 15 megawatts together with other partners,” he said.

Moyo also invited major pension funds, including ZESA and National Railways of Zimbabwe, to consider investing in the renewable energy sector, citing the potential for high returns.

“I was saying this to these colleagues in the energy sector. They have a ZESA pension fund which is very buoyant but they have never invested in any of these. For me, it is strange. But they are now thinking about investing. And they must. They should be looking for partners. The pension fund, which is one of the biggest—the railway pension fund—is still one of our largest, and the mining pension fund should look for partners, especially the businesses that are already in the market,” he said.

He urged the Labour Minister to explore opportunities in renewables to protect pensioners from post-labour market trauma. Despite pension funds being under the supervision of the Insurance and Pensions Commission (IPEC), Moyo stressed the need to actively seek new opportunities.

“Let’s come and meet and let’s see what we can do to increase power generation. But we are also really urging people to work with ZESA and the government to see whether we can expand transmission, because we can generate, generate, generate but if there is no evacuation, our people still won’t have electricity. So, transmission, generation, transmission, distribution, and retail have become very difficult. But we can also have those grids which are off-grid through renewable energy. And let’s look at the outside, these power grids that are coming from ZESA and say, can we invest there? Because there are also opportunities for investment. So, all sides. Renewable, extension of the grid. Even in the petroleum, petrol trade. The expansion in LPG is huge,” he said.

Zimbabwe is set to host the 2026 SADC Sustainable Energy Week from 23 to 27 February in Victoria Falls, where players across sectors are urged to invest in renewable energy.

“We invite you to partner with us during the Sustainable Energy Week, proudly hosted by Zimbabwe, as we work together to drive investment and collaboration. We call upon all Zimbabwean member states to participate and they will be given space to showcase what they are doing in their own countries. This is not only a Zimbabwean-hosted matter but a Zimbabwean-hosted sustainable energy week. I want to close by thanking all of you for attending. Join us in championing a brighter future and sustainable energy within Victoria Falls. We’re innovating, which needs commitment. This is a unique opportunity for partners and stakeholders to come together and place support for sustainable energy. Your financial contributions, as has been asked by the executive director, will make it impactful; your material support will also make it impactful, but advertising yourself will attract more investors. Zimbabwe and the whole SADC region—we want you to come out of Victoria Falls saying, ‘I have made a deal.’ And when our president says Zimbabwe is open for business, I’m sure all of SADC is open for business. Let’s attract those who want to invest and join us in developing Southern Africa,” he said.