POWER AFRICA FACT SHEET
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 | GDP (1): $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.
POWER AFRICA SUCCESS STORIES IN MOZAMBIQUE
Championing Change: 7 Ways Men Can Advance Gender Equality at Work
The Electricity Generation Company in Malawi (EGENCO) and Electricidade de Moçambique (EDM) are two energy utilities at the forefront of gender equality in sub-Saharan Africa. Male engagement is key to their success, and in 2022 they bolstered their commitment through a Power Africa-led training for men in leadership positions.
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Mapping Market Expansion for Off-Grid Companies in Southern Africa
Power Africa's publicly available route-to-market (RTM) tools provide geospatial data and techniques to map population density, electrification, telecoms, and road infrastructure to help solar home system (SHS) companies prioritize geographic markets for increased sales and greater energy access in Malawi, Mozambique, and Zambia.
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
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.
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.