- IFC plans to support the government of Mozambique in developing a hydropower facility.
- The project requires an investment of US$4.5 billion.
The World Bank Group subsidiary, the International Finance Corporation (IFC), has signed an agreement with the government of Mozambique for the construction of the Mphanda Nkuwa mega hydroelectric project.
IFC’s contribution confirms the Mozambican government’s willingness to implement the project as a public-private partnership (PPP). The project involves the construction of a dam on the Zambezi River with a height of 103m. The reservoir will turn the turbines of a power plant with a capacity of 1,500 MW, equivalent to the installed capacity of a country like Senegal, 1,555 MW, according to Power Africa.
The project also includes constructing a 1,300 km high-voltage line between the project site in Tete province and Maputo, the capital of Mozambique. According to a statement by the IFC, “once completed, the hydropower project is expected to provide electricity to meet Mozambique’s growing domestic demand and transform the country into a regional energy hub.” The remaining output is expected to be exported to neighbouring countries, including South Africa, where demand for clean energy is high.