Mozambique Expands Solar Power with $110 Million Investment

Mozambique Expands Solar Power with $110 Million Investment

A private Mozambican consortium plans to invest $110 million (€101 million) in a solar power plant in Gaza province, southern Mozambique, to strengthen the national grid, according to official documents accessed by Lusa.

The Chibuto Solar Power Plant, a joint initiative between Sal Energia and state-owned Electricidade de Moçambique (EDM), will have an installed capacity of 95 MW.

Sal Energia will develop, finance, and construct the plant, along with the necessary grid connection infrastructure.

The project will cover 211 hectares in Chibuto Sede and include a 275 kV transmission line spanning approximately 10 kilometers to the Chibuto substation.

Mozambique’s solar energy production increased by 18.6% in 2024 but still contributes less than 1% of the country’s total electricity supply.

According to the 2024 Budget Execution Report, electricity generated from the country’s five major solar plants and smaller facilities reached 101,247 megawatt-hours (MWh), up from 85,343 MWh in 2023. However, this fell short of the government’s target of 138,808 MWh for the year.

Despite the progress, solar power accounted for only 0.5% of Mozambique’s total energy production in 2024.

Hydroelectric power remains dominant, contributing 83.8%, with the Cahora Bassa Hydroelectric Plant alone generating 81.7% of the country’s electricity.

The Mozambican government is accelerating its renewable energy transition, aiming to develop 1,000 MW of solar power capacity by 2030 in key regions such as Dondo, Lichinga, Manje, Cuamba, and Zitundo, with additional sites to be identified.

The plan also includes 200-500 MW of new onshore wind power capacity, primarily in Inhambane and Lagoa Pathi.

According to Mozambique’s Energy Transition Strategy (ETS), large industrial investors will be encouraged to develop large-scale solar and wind projects through a favorable regulatory environment.

By 2050, Mozambique aims to install at least 7.5 GW of solar capacity and up to 2.5 GW of wind power.

The government is leveraging its Renewable Energy Auction Programme to accelerate solar and wind development.

Inspired by South Africa’s auction-based approach, Mozambique aims to introduce competitive pricing to attract investment and scale up clean energy infrastructure.

With these initiatives, Mozambique is positioning itself for a “solar revolution,” balancing energy exports with domestic industrial growth while reducing reliance on fossil fuels.

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