International Finance Corporation (IFC) and the Electricidade de Moçambique (EDM) have inked a collaboration agreement to develop small-scale solar PV plants and battery storage facilities across Mozambique.
The project is part of IFC’s work in Mozambique to increase access to power including by bringing on increased renewable energy sources. Under the deal, the two target to develop four solar PV and battery storage facilities with an expected total energy production of 50MW. Dependent on the results of a grid integration and financial assessment study to be conducted by IFC.
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The solar PV Plants will provide power to the country’s grid and help to meet growing electricity demand in a country where only around 43% of the population has access to electricity, of which 40% comes from the National Grid and 3% from isolated systems.
“This project signals the Company’s effort in the search for sustainable solutions to accelerate Universal Access to Energy for all Mozambicans by 2030. In this sense, with the commitment to energy diversification, we hope to generate, in the coming years, 200MW in renewable energy. Likewise, with projects of this nature, EDM is at the forefront of the energy transition, in line with the Paris Agreements to reduce global warming,” Marcelino Gildo Alberto, CEO at EDM commented.
“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 to develop its renewable energy sources to help power homes and businesses,” said Dan Croft, IFC regional manager for infrastructure in Africa on the upstream team, which works on early-stage project development.