The African Development Bank Group (AfDB) will finance the construction of the transmission line for electricity produced at Mozambique’s Namaacha wind power plant with $43.6 million (€38.5 million), the institution announced.
“The new infrastructure will transmit up to 332 gigawatt-hours of clean wind energy from the future 120 MW Namaacha wind power plant, located in the southwest of the country, to homes and businesses in Mozambique and the southern African region,” states an AfDB press release accessed by Lusa.
The financing for the 43-kilometre Namaacha-Boane Transmission Line and related electrical infrastructure includes $33.2 million (€29.3 million) from the African Development Fund and $10.4 million (€9.2 million) from the bank’s Climate Action Window — a fund dedicated to supporting 37 low-income African countries with climate-resilient infrastructure and aligned with the Paris Agreement commitments.
“This project is a major step forward in Mozambique’s transition to a low-carbon energy future,” said Kevin Kariuki, AfDB Vice President for Power, Energy, Climate and Green Growth. He added that it “will provide affordable electricity, support local industry, and improve livelihoods.”
Once completed, the project around the wind farm in southern Mozambique “will support thousands of new grid connections in rural and underserved communities” and is expected to “cut carbon dioxide emissions by more than 71,000 tonnes per year, strengthening regional energy trade through the Southern African Power Pool.”
The United States also announced support in July 2024 for the construction and operation of Mozambique’s first wind farm in Namaacha, with nearly $180 million (€158.8 million) through the U.S. International Development Finance Corporation (DFC).
According to information from the DFC, reported by Lusa at the time, the support includes a loan of up to $99 million (€87.3 million), along with $80 million (€70.5 million) in political risk insurance for Globeleq Africa Limited, the company responsible for the project.
This support is intended to enable the development, construction, and operation of a 120 MW wind power plant in Namaacha, Maputo province, southern Mozambique.
“The country’s first wind energy project will boost the supply of low-cost clean electricity to the national grid and regional markets, thereby supporting greater access to reliable power,” stated the DFC.
Since 2002, Globeleq — a leading power company in Africa — has built a diversified portfolio of independent power plants, generating more than 1,500 MW across 15 sites in seven countries, including Mozambique. It currently has over 741 MW under construction and more than 2,000 MW in the energy project pipeline.
Mozambique expects to invest $80 billion (€70.5 billion) in its Energy Transition Strategy (ETS) by 2050 — a roadmap unveiled in November 2023 at the climate summit in Dubai.
Source: Lusa
