CARBON MARKETS

Carbon Feed-In Premium (CFIP) Programme

Zambia’s Policy-based Programme under Article 6 of the Paris Agreement

IMPORTANT CFIP UPDATE!

In response to the questions received, the Call for Proposals (CfP) has been revised regarding the BESS requirements outlined in section #17.a. Please refer to the updated Call for Proposals for more detailed and explicit requirements. To ensure sufficient time for any necessary adjustments to your application, the submission deadline has been extended to 7th June 2026.

Please be advised that the Q&A has been updated accordingly. You are welcome to direct any additional questions to the CFIP Administrator (cfip.administrator.mgee.gov.zm) until close of business on 22nd May 2026.

Any questions submitted after this deadline will not receive a response.

Zambia’s Carbon Feed-In Premium Call for Proposals Now Open!
The Ministry of Green Economy and Environment and the Ministry of Energy are now accepting applications for the Carbon Feed-In Premium Programme (CFIP). CFIP is a results-based crediting mechanism designed to accelerate Zambia’s transition of the energy sector by facilitating investment in new large-scale 

grid-connected solar PV installations.This call is open to national and international Independent Power Producers (IPPs), ZESCO and its subsidiaries, and any other stakeholders interested in investing in the Zambian power sector. Eligible projects intending to invest in grid-connected solar power installations located in Zambia, which deliver measurable emission reductions and support national climate and development goals are now invited to submit their applications.To apply, please download the detailed Call for Proposals and application documents. Kindly submit your completed Application Form and Project Cash Flow Template to Cfip.administrator@mgee.gov.zm, no later than 7th June 2026.
For queries and more information about the CFIP, contact the CFIP Administration at the Ministry of Green Economy and Environment: Cfip.administrator@mgee.gov.zm

What is the CFIP?

The Carbon Feed-In Premium (CFIP) Programme is a results based crediting mechanism designed to accelerate Zambia’s transition to renewable energy by supporting investments in clean, grid-connected electricity generation technologies. By prioritizing new, additional energy generation paired with battery energy storage systems (BESS), the CFIP enables the delivery of renewable electricity during peak and evening hours when grid emissions are highest. The storage-inclusive design aims to reduce intermittency, enhance grid stability, and support a genuine transition to a low-carbon power system. As a sectoral financing mechanism, the CFIP can be applied to all renewable energy technologies. In Zambia, the initial
technological window will focus on solar photovoltaic (solar PV) energy, as defined at the national level, consistent with Zambia’s national priorities and Article 6 of the Paris Agreement. This approach advances a scaled-up crediting system, referred to as a ‘policy-based programme’ under the Gold Standard’s Policy Requirements and Procedures, and integrates key elements of the Article 6.4 Paris Agreement Crediting Mechanism (PACM). By moving beyond projectlevel activities toward comprehensive, government-led interventions, the CFIP streamlines a systemic, nationwide
transformation that generates substantial climate impacts.

Why a policy- based programme

1

Ensures sustained political alignment
and coordination through government
ownership

2

Demonstrates adaptability to fit with
the specific context of the Host
Country

3

Enables transformational change at
the sectoral level, while reducing
carbon finance transactional costs

4

Promotes scaled-up mitigation
outcomes, fully embedded in national
policies

5

Supports accurate crediting through
 a digital MRV system

What does the CFIP do?

The CFIP helps drive the decarbonization of Zambia’s energy sector
by promoting the deployment of new and additional energy technologies to expand clean energy use and reduce reliance on fossil fuels. Long-standing financial and structural constraints in the power sector have limited investments in renewables, with capital instead tending toward lower-cost, carbon-intensive technologies. By linking payments to verified greenhouse gas (GHG) emission reductions from grid-delivered electricity and applying dynamic baselines anchored in Zambia’s unconditional Nationally Determined Contribution (NDC), the CFIP safeguards environmental integrity, improves investment certainty, and accelerates clean energy deployment. In essence, the CFIP provides additional incentive payments when the standard power purchase price is not enough to make a project viable, helping projects secure financing. These payments are funded through the sale of carbon credits between Norway and Zambia under Article 6 of the Paris Agreement.

How is the CFIP different?

The CFIP is structured around Article 6 and is designed to work within Zambia’s existing national systems, with strong Host Country oversight. Unlike traditional project-by-project carbon crediting schemes, the CFIP is fully embedded in Zambia’s institutional framework and brings together key stakeholders from across the energy sector. To assure national ownership and long-term sustainability, the CFIP is guided by a political steering committee responsible for assuring political alignment and coordination, and a technical working group responsible for developing the CFIP’s design and implementation arrangements within Zambia’s broad energy framework

How does the CFIP work?

Participation in the CFIP is voluntary. Independent Power Producers (IPPs) may apply for inclusion provided they meet the established financial, technical, and geographical criteria. This guarantees activities are genuinely additional, support national climate goals, deliver measurable emission reductions, and generate positive Sustainable Development (SD) impacts. As the CFIP operates on a results-based payment model, all projects are required to report verified electricity generation data. The digital Monitoring, Reporting, and Verification (MRV) system will capture electricity produced (in kWh) and supplied to the grid, which will be reviewed through an independent audit process to confirm accuracy and maintain transparency. Following verification, carbon payments are issued to project operators based on actual performance. The resulting emission
reductions will be aggregated, authorized, and then traded as Internationally Transferred Mitigation Outcomes (ITMOs) under a Cooperative Approach between Zambia and the Norwegian Ministry of Environment, as part of the Norwegian Global Emissions Reduction (NOGER) Initiative.

What is carbon finance?

Carbon finance is a financial instrument that supports activities aimed at reducing or removing greenhouse gas emissions, often by generating tradable carbon credits. Carbon credits typically represent one tonne of carbon dioxide equivalent (CO2e) reduced or removed and are generated from verified and additional mitigation activities. Within the CFIP Programme and under Article 6 of the Paris Agreement, carbon finance facilitates international cooperation by enabling countries and private sector entities to trade these credits, thereby contributing to the achievement of global climate goals.

How are carbon markets scaling up?

Under the Kyoto Protocol, the Clean Development Mechanism (CDM) allowed developed countries to meet emissions targets by purchasing Certified Emission Reductions (CERs) generated by emission-reducing projects in developing countries. To support scaling, the Program of Activities (PoA) streamlined implementation by grouping similar projects under a single framework, reducing transaction costs and enabling broader impact through replication. With the introduction of Article 6 of the Paris Agreement and innovative approaches like the CFIP, countries can now better link carbon market activities with their national climate strategies, allowing for more ambitious mitigation efforts

For more information about the CFIP Programme please refer to the CFIP Factsheet and eligibility criteria below or contact: Cfip.administrator@mgee.gov.zm.

A call for pilot expressions of interest opens on: 1 April 2026

Carbon Feed-In Premium (CFIP) Q&A

The Carbon Feed-In Premium (CFIP) Programme Q&A document provides answers to commonly asked questions regarding the programme, including key information on participation, eligibility, processes, and benefits to help guide stakeholders and interested participants. Download it below