AfDB approves USD-2.5m grant for renewables programme in Mozambique

The African Development Bank (AfDB) said on Friday that its board had approved to extend a USD-2.5-million (EUR 2.56m) grant to the government of Mozambique to support the renewables development in the country.

The grant comes from the Sustainable Energy Fund for Africa (SEFA), which AfDB administers, and will be used to implement the Mozambique Renewable Energy Integration Program (MREP), the multilateral bank said.

More specifically, the funding will assist Mozambique’s state-owned power company Electricidade de Mocambique (EDM) to finance a comprehensive feasibility study into the potential development of a floating solar power project on the Chicamba reservoir. Certain amount of funds will also support a feasibility study for battery energy storage projects at up to ten sites, capacity building for EDM’s staff and tender preparation.

According to AfDB, Mozambique has a potential to generate 187 GW from renewable and fossil fuel sources. At present, hydro power represents around 81% of the nation’s installed capacity, but natural gas and renewables are expected to take a larger share in Mozambique’s energy mix, the bank said.

(USD 1.0 = EUR 1.022)

Choose your newsletter by Renewables Now. Join for free!