The International Finance Corporation (IFC) is to collaborate with Mozambique’s Ministry of Mineral Resource and Energy (MIREME), through the Mphanda Nkuwa Hydroelectric Project Implementation Office (GMNK), on the development of a 1500MW hydropower project.
IFC will work with GMNK to structure the Mphanda Nkuwa project, including the review of technical design, environmental safeguards, commercial and financial structuring. The goal is to help mobilize competitive private investment to bring the project into commercial operation and support the country's sustainable energy transition.
The estimated US$4.5 billion project will comprise a dam, a powernstation, and a high voltage transmission infrastructure of 1300km from the project site in Tete Province to Maputo, Mozambique's capital. The project is scheduled for completion in 2031.
Once complete – expected in 2031 – the hydropower project is expected to supply power to meet the growing domestic demand in Mozambique and transform the country into a regional energy hub. The rest of the project's output is expected to be exported to neighbouring countries, including South Africa, where demand for clean energy is high. The project will also accelerate the transition to clean energy to combat climate change in Southern Africa.