Mozambique Approves Power 'Master Plan'
Mozambique has approved a $34 billion, 25-year electricity infrastructure master plan that will see about 15 gigawatts of new capacity being built, of which 8.5 GW natural gas-fired.
The east African country currently has an installed generation capacity of 2,638 MW (or 2.638 GW), of which only 174 MW is gas-fired.
But according to the Integrated Master Plan for Electricity Infrastructures for 2018 to 2043 (PDIE), gas will overtake hydropower as the largest source of electricity.
In a statement issued on October 18, state power utility Electricidade de Moçambique (EDM) said of the master plan approved two days earlier: "PDIE foresees the increase of national, domestic and industrial demand of energy to about 8,000 MW in 2043, representing an annual average growth rate of [some] 8.6%, the second in Southern Africa after Tanzania, while in export to the region it foresees to achieve levels above 7,000 MW. This demand must be met in terms of the National Electrification Strategy, under which about 70% of accessing 2030 will be provided by the National Power Grid's system. Power generation projects total 4,300 MW of hydro generation; 1,350 MW of coal; 530 MW of solar, 150 MW of wind and 8,500 MW of gas."
Mozambique has an estimated 180 trillion ft3 (5.1 trillion m3) proven gas reserves, most of which is earmarked as LNG exports to Asia and Europe by Anadarko and ExxonMobil/Eni and their consortia. Some gas would be used locally to make fertiliser, transport fuel (GTL), and electricity. Only 28% of the Mozambican population has access to electricity but the government plans to increase access to 38% by 2020 and to 100% in 2030.
Without elaborating, EDM says the money needed to build power plants and transmission lines will come from government, donors, financing institutions and the private sector. "More importantly, it will be necessary for the regulatory and tariff framework to accompany these investments and for the sector to have an integrated approach in the planning of the energy resource exploration to stimulate public and private investment and to reduce the supplies of energy to the national territory," it added.