Mozambique expands electrical infrastructure via German investment and private projects

Mozambique is undergoing significant electrical infrastructure upgrades through both German-funded rehabilitation and new private investment initiatives.

A €20.8 million investment from the German development bank KfW has quadrupled the capacity of the Beluluane electrical substation from 20 to 80 megavolt-amperes (MVA). This expansion, implemented by Electricidade de Moçambique (EDM) and MozParks, has supported a 40% increase in resident companies at the Beluluane Industrial Park since 2024. The project also provides electricity to approximately 3,000 households in neighboring communities.

In a separate development, the UK-based investment platform Gridworks, in partnership with EDM, has launched a pre-qualification process for a €386 million (approximately $450 million) energy transport line project. The Chimuara–Nacala project involves constructing roughly 460 kilometers of transmission lines to connect the central and northern regions of the country. This initiative, which is the first privately funded energy transport project in Mozambique, aims to integrate 600 megawatts of additional hydroelectric and solar capacity and facilitate future electrical interconnection with Tanzania.