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Important Developments for the Mozambique Renewable Energy Sector
13 of July 2022
Important Developments for the Mozambique Renewable Energy Sector

New Electricity Law Published


The new Mozambique Electricity Law was finally published in the Boletim da República on 11 July, after having already been approved in plenary of the Assembly of the Republic on 30 March.


Law n.º12/2022 was published after the enactment of President Filipe Nyusi and is available for consultation, in portuguese, on the LERenováveis ​​Database here.


The new Electricity Law creates conditions for the opening of the electricity sector to the private sector, through the legal regime of concessions. This document, authored by the Government, aims to adapt the legal framework to the challenges of universal access to energy using all energy sources, especially renewable energy sources. In addition, the new Electricity Law aims to help promote the reduction of greenhouse gas emissions. Learn more here.


After participating in the review process, as we had announced here, ALER in partnership with AMER – Mozambican Renewable Energy Association, will prepare an analysis of the new law and the impacts for the renewable energy sector in the country. To access the analysis and participate in the Working Group, become our Associate.


World Bank and FUNAE launched support program for off-grid energy projects


Representatives of the Government of Mozambique, through the World Bank and FUNAE – Fundo Nacional de Energia, ALER's Honorary Member, met in June to discuss models for using available resources to increase access to energy solutions and, thus, contribute to achieving universal access to this resource by 2030. 

 

The $26 million funding will aim to stimulate the off-grid energy market as well as promote home solar systems.
 

Isalia Munguambe, representative of FUNAE, said that the initiative aims to reach around 300,000 beneficiaries over the next four years, focusing on areas outside the national electricity grid, as well as those with difficult access to energy.


“The National Energy Fund will hire an independent entity to act as a manager of the resources made available”, she revealed.


This meeting was promoted within the scope of the 'ProEnergia' project, which aims to intensify access to electricity for more families and companies at a national level, as a contribution to the universal electrification of Mozambique by 2030 defined in the National Electrification Strategy (ENE) and approved by the Council of Ministers on 16 October 2018.


IFC and EDM announced a collaboration agreement to develop PV Solar Power Plants


Also in June, the IFC - International Finance Corporation and EDM- Electricidade de Moçambique, ALER's member, announced at the Africa Energy Forum, in Brussels, a Collaboration Agreement to develop small-scale Solar Photovoltaic Plants and battery storage facilities.


This agreement provides for the installation of four Photovoltaic (PV) Solar Power Plants with battery storage, with a total energy production of 50 Megawatts (MW), whose development depends on the results of grid integration studies and financial evaluation to be carried out by IFC.


The Solar PV Plants will supply energy to the National Electricity Grid (REN) and will help respond to the growing need for electricity in a country where approximately 43% of the population has access to energy, of which 40% through REN and 3% through off-grid systems. network.


“A key priority for Mozambique is ensuring access to affordable, sustainable and reliable electricity. By combining early stage project development support and financing, IFC is working with EDM to support Mozambique in developing its renewable energy sources to help provide energy to homes and businesses,” said Dan Croft, Regional Manager of IFC for Infrastructure in Africa in the management team, which works on early stage project development.


 Source: Diário Económico