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FUNAE Calls for Greater Private Sector Involvement in Expanding Energy Supply Through Small Grids

FUNAE Calls for Greater Private Sector Involvement in Expanding Energy Supply Through Small Grids

The National Energy Fund (FUNAE) has called for the involvement of the private sector in the expansion of energy through small networks, which today account for 7 per cent of the country’s electricity grid.

‘The regulatory framework was changed so that the private sector could support this process of expanding the grid through mini-grids,’ Isália Munguambe, president of FUNAE, told Lusa on the sidelines of the meeting of the Coordinating Council of the Ministry of Mineral Resources and Energy, in the Mossuril district of Nampula province.

Mozambique has an energy network coverage of 54 per cent, of which seven per cent is through small (autonomous) networks, which mainly run on renewable energy and are the alternative in rural areas not covered by the national network.

In order to strengthen the capacity of these alternative systems to the national grid, FUNAE has created the Off-Grid Electrification Plan, which will soon open tenders for private sector funding.

‘The plan essentially aims to promote private sector investment in this type of network. The participation of partners in these projects helps to cushion the need for investment on the part of the state,’ he emphasised.

According to official figures, the country, which aims to achieve universal access to energy by 2030, has a total of 97 small networks spread mainly in rural areas, complementing the national electricity grid.

Under the slogan ‘Towards transformation and local use of mineral and energy resources for sustainable development’, the coordinating council meeting in Nampula ended after two days of meetings between various officials from the Ministry of Mineral Resources and Energy and the presidents of various public companies.

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