On Friday 28 March, Electricidade de Moçambique (EDM) and the German Development Bank (KfW) signed a 34.1 million metical (almost 540,000 dollars) financing agreement to carry out studies into the potential of green hydrogen in the country.
The funding will enable specialists to be hired to assess the technical and economic viability of green hydrogen in Mozambique. The study will identify opportunities for the energy sector and analyse the possibility of exporting the resource and its derivatives.
During the event, the director of KfW, Steffen Beitz, emphasised the long-standing partnership between the two institutions: ‘Germany is our third largest partner in the energy sector and we have had excellent cooperation with EDM for years. We are delighted with this new joint project.’
Germany’s ambassador to Mozambique, Ronald Münch, emphasised the importance of green hydrogen for the global economy and sustainable development, saying: ‘The creation of this market brings opportunities for local value chains, the generation of skilled jobs and technological strengthening. Many companies around the world need this resource, and Mozambique has enormous potential to become a strategic supplier.’
Münch emphasised that the German-supported study will help Mozambique define its strategy for the sector. ‘This research will be key to boosting the economy, promoting the energy transition and opening up a new export market. The partnership reinforces our commitment to innovation and sustainability,’ he said.
For her part, the regional energy director, Marcelina Mataveia, emphasised that the project is in line with Mozambique’s energy transition strategy. According to her, EDM’s goal is to achieve universal access to electricity by 2030, prioritising clean and sustainable sources.
“Since 2020, we have seen significant growth in the number of new electricity connections.Initially, we connected around 100,000 to 150,000 families a year.Today, we are able to reach more than 500,000 new households a year.Our aim is to maintain this trend and guarantee universal access by 2030.”
‘The funding granted will enable in-depth studies to be carried out to ensure the viability of green hydrogen as an energy source and its inclusion in other economic sectors. In addition, the aim is to explore the possibility of exporting it, maximising the economic benefits for the country,’ explained Mataveia.
The Chairman of EDM’s Board of Directors (chairmans), Joaquim Ou-chim, stressed that the initiative is part of the Energy for All programme, which aims to guarantee electricity to all Mozambicans by 2030. According to the chairmans, the country has made significant progress in this area, consistently increasing the rate of access to energy.
‘Since 2020, we have seen significant growth in the number of new electricity connections. Initially, we connected around 100,000 to 150,000 families a year. Today, we are able to reach more than 500,000 new households a year. Our aim is to maintain this trend and guarantee universal access by 2030,’ he explained.
Joaquim Ou-chim, EDM chairmans
Meanwhile, regarding the use of the funding granted by Germany, Ou-chim explained that the funds will be managed through an international tender to select a specialised consultancy. ‘We need a detailed market study to understand how green hydrogen can be integrated into the national energy mix. The technology is new and requires careful planning,’ he said.
The representative emphasised that the study is expected to last between six and nine months. During this period, the consultants will carry out field research, collect data and formulate recommendations for implementing the technology in Mozambique.
‘Germany has extensive experience in the green hydrogen sector and we believe that this partnership will be essential for the country to adopt best practices. Mozambique has abundant natural resources, such as water, sun and wind, which are fundamental for the production of this sustainable fuel,’ concluded Ou-chim.
Text: Germano Ndlovo
