The government is seeking financing for the construction of the Mphanda Nkuwa (MNK) hydroelectric dam and, for this purpose, presented the project in London, England’s capital, as a way to mobilize further investments. This information was reported on Tuesday, June 10, by the Mozambican News Agency (AIM), citing a press release from the project’s Press Office.
According to the document, the renewable energy megaproject is estimated at about 5 billion dollars (320 billion meticais) and will be built on the Zambezi River in Tete province. The financing closure is scheduled for 2027.
The initiative presentation took place during a session held in partnership with the Tony Blair Institute for Global Change (TBI), under the Mission 300 and Mozambique’s National Energy Compact, according to a press release from the project’s Implementation Office. Structured under the Build, Own, Operate and Transfer (BOOT) model, the project represents the largest public-private infrastructure investment ever made in the country and is considered a cornerstone of the national strategy to position Mozambique as a regional exporter of clean energy and an emerging industrial hub.
“Mozambique is firmly committed to becoming a regional energy hub of reference, contributing to inclusive growth, climate resilience, and industrialization across the region,” stated the Minister of Mineral Resources and Energy, Estevão Pale, quoted in the official note.
The minister added that the country’s national energy strategy is based on expanding access to energy, diversifying generation sources, green industrialization, and accelerating the transition to low-carbon energy sources, with hydroelectric power as a central pillar. “The Mphanda Nkuwa project is a priority for the government as it simultaneously addresses internal and regional challenges in economic and social development,” said Pale, emphasizing: “It is a clean energy project that will shape the next chapter of economic integration and climate resilience for Mozambique and Southern Africa.”
Commercial operations at the Mphanda Nkuwa dam are expected to begin in 2032. Once operational, the project will significantly expand the regional supply of electricity, strengthen the national electrification process, and drive long-term industrial growth both in the country and Southern Africa.
The project involves building a run-of-river dam located about 61 kilometers downstream from the current Cahora Bassa dam, also on the Zambezi River in Tete. It also plans to install a high-voltage power transmission line approximately 1300 kilometers long, from Tete to the city of Maputo in the south of the country.
The presentation event included the presence of international investors as well as high-level representatives from institutions such as the World Bank, International Finance Corporation (IFC), Multilateral Investment Guarantee Agency (MIGA), and African Development Bank (AfDB), all strategic partners in the project’s development.
The strategic investor consortium for Mphanda Nkuwa also participated, led by Électricité de France (Electricity of France), French oil company TotalEnergies, and the Japanese multinational Sumitomo Corporation.
Source: Diário Económico