The government is in talks with Brazilian companies in the biofuels sector to attract investment and establish partnerships in local production, the newspaper Noticias reported on Tuesday 17 December.
According to the newspaper, the initiative is part of the Economic Acceleration Package (EAP) and aims to reduce dependence on fossil fuels by promoting sustainable alternatives.
The EAP team, led by coordinator João Macaringue, met a few days ago with representatives of Brazilian companies interested in developing the sector in the country. The meeting followed the conclusion of a feasibility study into the biofuels market, drawn up in partnership with consultants GreenLight and LBC, with funding from the International Finance Corporation (IFC) and support from USAID SPEED (a project that provides specialised technical services to the Government of Mozambique to support economic and structural reforms in various sectors).
The report identifies crops such as sugar cane and cassava for bioethanol (fuel obtained through the controlled fermentation and distillation of vegetable waste), as well as oilseeds such as soya and sunflower for biodiesel.
The analysis also looks at the regulatory framework, the necessary infrastructure and investment opportunities, in line with the measure providing for the mandatory blending of local biofuels with imported fuels.
The experts advocate the implementation of incentive mechanisms, such as subsidies, renewable energy credits and mandatory quotas, to make biofuels more competitive and attract new investment.
With this, the government hopes to boost local production and contribute to the sustainable growth of the Mozambican economy.
