The dam, which has the capacity to generate 520MW, was inaugurated in November 2005 by Jose Eduardo dos Santos, the Angolan head of state. It was decided to increase the dam's capacity as demand for power in Angola has grown since April 2002 when the country attained peace. Since then, it has seen a rise in its GDP and a consequent increase in the number of consumers, further increasing the demand for electricity.
The decision to increase the dam's output of electricity has also led to the construction of new electricity lines to transport power around the country. US$218M has been invested into the new Capanda-Lucala-Luanda line which will convey 400kW and the existing Capanda-Cacambe and Cambambe-Luanda systems will be reinforced.
The Angolan Ministry of Energy and Water signed a contract with a consortium consisting of the builders Norberto Odebrecht and the Spanish Elencor S.A and Insolux Ingeniera in order to implement the project and a further two power lines: Capanda-Ndalatando and Cambambe-Luanda, are currently under construction using funding from China.
