The US Trade and Development Agency (USTDA) awarded the $1.05 million grant to developers Access Power and EREN Renewable Energy for the study into the Pensulo project in the country’s northern Copperbelt Province.
The two companies would own and operate the site upon its completion.
Zambia has historically relied on hydropower for its electricity needs, but last year experienced a severe energy shortage due to low rain levels in 2014 and 2015, according to Access Power.
Access Power will advertise on the United States’ Federal Business Opportunities website to select a firm to complete the study.
"By bringing this pioneering project to fruition with the support of USTDA we aim to diversify Zambia’s energy mix and tap into its vast clean energy power generation potential in order to help fuel its economy development and satisfy the urgent need for electrification," said Vahid Fotuhi, managing director at Access Power.
The Pensulo project is expected to come online in 2021. It is unknown how many turbines would be used at the site.