EELA Zambia Energy Efficient Appliances and Manufacturing Development Market Study

The EELA Zambia Energy Efficient Appliances and Manufacturing Development Market Study provides a comprehensive picture of the country’s appliance market and its readiness for energy efficiency transformation.

The study is based on a comprehensive mixed-methods approach combining quantitative and qualitative data. It draws on a structured survey of 100 appliance market actors across six provinces, 41 in-depth interviews with government officials, industry representatives, and development partners, and a review of 24 national and international policy and market documents. Field research was complemented by technical assessments of 91 appliances available on the market, providing a detailed picture of product characteristics, compliance, and performance.

Its central conclusion is that Zambia has already established a strong policy foundation for energy efficiency through instruments such as Vision 2030, the National Energy Policy (2019), and the Energy Efficiency Strategy and Action Plan (2022), yet it remains “policy-ready but not implementation-ready”. This means that while the strategic direction is clear, the tools required to translate policy into real market transformation are still missing.

EELA ZAMBIA VALIDATION WORKSHOP FOR ENERGY-EFFICIENT APPLIANCES AND MANUFACTURING VALIDATION WORKSHOP

29 April 2026 
Southern Sun Hotel, Lusaka

Major structural gaps

  • No mandatory MEPS (Minimum Energy Performance Standards)
  • No mandatory energy labelling scheme
  • No pre-market conformity assessment
  • No accredited national testing infrastructure

​​​​At the core of this gap is the absence of key regulatory mechanisms. The study highlights that Zambia currently lacks mandatory Minimum Energy Performance Standards (MEPS), a national energy labelling scheme, pre-market conformity assessment systems, and accredited testing infrastructure. Without these elements, there is no effective way to regulate the quality and efficiency of appliances entering or circulating in the market. As a result, inefficient products can still be sold freely, limiting energy savings and undermining policy objectives.

The market itself is highly import-dependent and structurally constrained. Approximately 88% of appliances are imported, while only 17% of market actors are manufacturers, most of whom are concentrated in light assembly rather than full-scale production. The majority of firms are retailers, accounting for 52% of market actors, and supply chains are heavily influenced by external markets, with China alone providing about 61% of appliances. This structure leaves Zambia exposed to low-efficiency products and limits the country’s ability to control product standards or develop domestic industrial capacity.  

The Compliance Paradox

A striking finding of the study is the so-called “compliance paradox”. While around 92% of appliances sold in Zambia carry energy labels, this does not indicate true regulatory compliance. Nearly half of firms (49%) are unaware of MEPS or relevant standards, and 55% of staff have not received any training on energy efficiency. Labelling is therefore largely voluntary and driven by market practices rather than enforced standards, with compliance often based on self-declaration instead of independent verification. This creates a situation where the appearance of compliance masks underlying weaknesses in quality assurance.

On the demand side, affordability emerges as the dominant constraint shaping consumer behaviour. The market is overwhelmingly cash-based, with 86–88% of purchases made upfront and 67% of respondents identifying cost as the main barrier to adopting energy-efficient appliances. At the same time, the study finds that 50% of consumer willingness to pay for energy-efficient products depends on access to financing. This indicates that demand for efficient technologies exists but remains largely untapped due to financial constraints. Importantly, energy efficiency itself is not a major decision driver; consumers prioritise price, brand, and reliability far above energy savings, suggesting that awareness campaigns alone are unlikely to shift demand without supportive financial and regulatory incentives.

The Opportunities

The study also highlights important industrial opportunities despite current limitations. Local manufacturing is currently limited to assembly and basic fabrication, with no complete domestic value chain. However, there is strong potential in the segment of productive-use appliances, such as solar pumps, agro-processing equipment, and cold storage solutions. In this segment, 41% of firms are manufacturers (significantly higher than in traditional consumer appliances) indicating a more promising pathway for industrial development, job creation, and rural economic growth.

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Bottlenecks

Five interconnected bottlenecks explain why the market has not yet transitioned toward energy efficiency. These include the absence of MEPS, lack of testing and certification capacity, limited access to financing, fragmented institutional coordination, and significant gaps in technical skills. These constraints reinforce each other: for example, without testing infrastructure, standards cannot be enforced, and without enforcement, there is little incentive for manufacturers or importers to invest in higher-efficiency products.

Quality assurance remains particularly weak. Only about 11% of firms use certified test reports, and Zambia currently lacks an ISO/IEC 17025‑accredited laboratory for appliance energy performance testing. While ISO/IEC 17025 accreditation applies to individual laboratories rather than entire institutions - meaning that the Zambia Bureau of Standards (ZABS) may host multiple labs with varying accreditation status - the absence of an accredited facility dedicated to energy efficiency testing represents a critical gap. As a result, regulators are unable to independently verify product performance, leaving the reliability of energy efficiency claims uncertain and weakening overall market trust.

Environmental considerations add further urgency. The study reveals that 23% of appliances have unknown end-of-life pathways, and only 23% of firms provide information on recycling or take-back options. Although Extended Producer Responsibility (EPR) regulations exist, they are not yet operationalized, leaving the country vulnerable to growing e-waste challenges as appliance use expands.  

Gender disparities are another critical dimension of the analysis. Women are significantly underrepresented across the value chain, particularly in technical and manufacturing roles, where 70% of firms report female participation below 20%. At the same time, only 1% of firms are female-led (while 41% of enterprises are female-led when joint/mixed ownership is included), and 87% of market actors do not actively target women as consumers. This highlights both structural inequalities and missed market opportunities, as women represent a largely untapped segment in both production and consumption.

Contact Details

Ms. Doreen Chipika BWALYA

National Project Coordinator, EELA Zambia, UNIDO

d.bwalya@unido.org

 

Ms. Elin Karlsson

Industrial Development Expert, Project Manager EELA Country Windows

e.karlsson@unido.org