Economy

Mozambique eyes energy powerhouse status with $1.4 billion investment push

Date: Jul 22, 2025

Mozambican President Daniel Chapo says the country is determined to transform itself into a regional energy powerhouse, tapping into its vast natural resources to boost electricity generation.

His remarks come as Mozambique and the World Bank announced a major drive to expand the country’s power capacity by an additional 15 000 megawatts.

The commitment follows urgent calls from energy producer Cahora Bassa, which warned during a recent media tour in Tete province that ageing infrastructure and outdated equipment were placing severe strain on electricity supply.

Chapo said expanding energy production,through hydropower, solar, gas and wind is central to Mozambique’s strategy to accelerate economic growth and support its neighbours. “We are engaging the World Bank and other partners to invest in a comprehensive energy grid, unlocking Mozambique’s potential to meet regional energy demands,” Chapo told officials during the tour.

World Bank Group President Ajay Banga, who recently visited Mozambique, echoed the sentiment, describing the country’s energy resources as unmatched in the region. “Mozambique has everything it needs, hydro, gas, solar, and wind, to drive sustainable development and become a key energy player in Africa,” he said.

Banga confirmed discussions are underway for a downstream hydro project expected to add 1 500 megawatts, alongside a 400 megawatt solar initiative and plans to upgrade the 50-year-old Kahora Bassa plant.

--ChannelAfrica--

 

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