Fin close reached on 15-MW solar-plus-storage project in Mozambique

Africa-focused independent power producer (IPP) Globeleq today announced financial close on the 15-MW Cuamba Solar PV project in Mozambique which will include the country’s first grid-scale battery storage system.

The company is partnering on the project in Niassa province with Source Energia, the renewables of private equity boutique Source Capital, and Mozambican state-owned electricity utility EDM. The latter will buy the park’s output under a 25-year power purchase agreement (PPA). First power is to be generated in the second half of next year.

The total investment in the solar-plus-storage plant is estimated at USD 36 million (EUR 31.9m). It will receive USD 19 million in debt funding from The Emerging Africa Infrastructure Fund (EAIF), a member of the Private Infrastructure Development Group (PIDG), and USD 7 million from PIDG's Viability Gap Funding (VGF) grant facility. An additional grant of USD 1 million for the energy storage system is coming from CDC Plus, the technical assistance facility of CDC Group.

Globeleq said the engineering, procurement and construction (EPC) contractor from Spain TSK Electronica y Electricidad SA, also known as Grupo TSK, will immediately commence mobilisation of the construction team. Installing the facility will create around 100 jobs, including for the local community. Construction works at the site began earlier this year.

Globeleq, supported by Source Energia, will oversee the construction and operations. Gransolar Group unit E22 will supply the battery storage component.

(USD 1 = EUR 0.887)

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