Power Africa in Mozambique

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Power Africa has supported the development of 122 megawatts (MW) of electricity generation projects in Mozambique. In addition, various firms have received U.S. Embassy support to move transactions forward. The page below gives an overview of the energy sector in Mozambique, explains Power Africa's involvement and lists Power Africa’s financially closed transactions in the country, some of which are already online and generating critical electricity supply for the people of Mozambique.

MOZAMBIQUE ENERGY SECTOR OVERVIEW


Population: 29.5 million | WB Ease of Doing Business Index (1): 138 | GDP (2): $14.72 billion

At 187 gigawatts, Mozambique has the largest power generation potential in Southern Africa from untapped coal, hydro, gas, wind and solar resources. Hydropower currently accounts about 81% of installed capacity. However, natural gas and renewable energy sources occupy a growing share of Mozambique’s energy mix. Despite the outsized potential, only 29% of the population has access to electricity, due to limited transmission and distribution networks and unfavorable market conditions for new generation. The industrial and commercial segments are expected to drive demand growth, as residential consumers struggle with the existing highly subsidized tariffs.

GENERATION CAPACITY

  • Installed Capacity (3): 3,001 MW
    • Hydro: 75%
    • Gas: 5%
    • Solar: 1%
    • Other: 19%

Power Africa new MW to date at finacial close: 122 MW

CONNECTIONS

  • Current Access Rate (4): 29%
    • Urban: 57%
    • Rural: 13%

Power Africa new connections: 193,948

 

Power Africa pipeline: For the most up to date information, DOWNLOAD the Power Africa Tracking Tool (PATT)

 

POWER AFRICA SUCCESS STORIES IN MOZAMBIQUE


U.S. Government Lights Up 92 Health Facilities in Sofala Province with a $320,000 Investment in Solar Power

"The United States Agency for International Development’s (USAID) Power Africa program awarded a grant to renewable energy company SolarWorks! Mozambique to install off-grid solar powered electrical systems in rural health facilities.  With these new systems, the health facilities will have a consistent and sustainable clean energy supply and be better able to provide quality care to the estimated 138,000 Mozambicans they serve." (mz.usembassy.gov)


Linking Electricity to Economic Growth and Energy Security: Mozambique’s Temane Transmission Project

One of Mozambique’s most significant power sector investments, the $506 million Temane Transmission Project (TTP), will commence construction later in 2021. This Power Africa-supported project will deliver much-needed electricity from power plants at Temane in the northern part of Inhambane Province to the nation’s capital, Maputo, in the south via a 563 kilometer transmission line.
 

Improving Electricity Utility Customer Management in Mozambique through Human-Centered Design

In the energy context, human-centered design means thinking about customer energy needs; how customers will perceive, interact with, and use energy products; and iterating solutions to promote alignment between technical and financial feasibility and customer behavior and perception.

With a current electrification rate of only 29 percent, the Government of Mozambique aims to electrify all households by 2030. For companies like Electricidade de Moçambique (EDM), Mozambique’s electricity company since 1977, achieving this daunting task relies heavily on human behavior; from customers being willing to pay for connection contracts and electricity to how EDM staff communicates with new customers and communities.

READ MORE about how EDM is improving their customer management on our blog (English / Portuguese)

 

POWER AFRICA FINANCIALLY CLOSED TRANSACTIONS IN MOZAMBIQUE


Updated: May 2, 2019

Kuvaninga Energia (Natural Gas 40 MW)

Financial Close Date: 12/31/2013
Commercial Operations Date: 12/31/2015
Estimated Project Cost: $100M
Overview: Power Africa partner, Investec teamed up with Enventure Partners, Intelligence, Counselling and Research (ICR) and Kuvaninga Moçambique Limitada (KDM) to develop this 40.29MW gas-fired power plant in Moçambique, as well as the associated gas pipeline and power transmission facilities. Gas engines were supplied by General Electric of the United States.


Mocuba (Solar 40.5 MW)

Financial Close Date: 06/05/2017
Commercial Operations Date: 06/01/2018
Estimated Project Cost: $80M
Overview: Mocuba, one of Mozambique’s first solar power projects, was developed by Power Africa partner's Scatec Solar; and Norfund signed a deal with the state-owned utility, Electricidade de Mozambique (EDM), securing the sale of solar power over a 25-year period.


Sources

  1. https://www.doingbusiness.org/en/rankings
  2. https://data.worldbank.org/country/mozambique
  3. https://www.africa-energy.com/database/datatool
  4. https://www.iea.org/reports/sdg7-data-and-projections/access-to-electricity

Last updated: May 20, 2021

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