Electricidade de Moçambique (EDM) has entered into a pivotal financing agreement with the German Development Bank (KfW) to propel Mozambique into the nascent green hydrogen sector.
The contract, worth 34.1 million meticals—approximately $540,000—sets the stage for comprehensive studies on green hydrogen’s potential within the nation.
Mozambique’s pursuit of green hydrogen aligns seamlessly with its energy transition strategy, as articulated by regional energy director Marcelina Mataveia. The nation aims for universal electricity access by 2030, emphasizing clean energy sources. Since 2020, Mozambique has witnessed a considerable uptick in new electricity connections, now reaching over 500,000 households annually—an ambitious scaling effort that underscores the government’s commitment to energy accessibility.
The allocated funding is allocated to hire specialists tasked with assessing both the technical and economic viability of green hydrogen. This focus is not just about domestic energy diversification but about positioning Mozambique as a strategic player in the global energy market. As noted by Germany’s ambassador to Mozambique, Ronald Münch, green hydrogen presents an opportunity for the country to establish itself as a key supplier on the world stage, fostering local value chains and skilled employment.
Moreover, the Chairman of EDM’s Board of Directors, Joaquim Ou-chim, highlighted the Energy for All programme, which underpins Mozambique’s rapid progress in energy distribution. The success of this program is critical, ensuring that the momentum towards a sustainable and inclusive energy sector continues unabated.
This initiative’s collaborative nature is underscored by Steffen Beitz, KfW’s director. He acknowledges the historical cooperation between Germany and Mozambique in the energy arena, anticipating that the partnership will catalyze significant advancements in the sector. This agreement suggests a strategic alignment, leveraging Germany’s extensive experience in green hydrogen to guide Mozambique’s development of this technology.
To maximize the economic benefits and integrate green hydrogen into the national energy mix, a comprehensive international tender will be launched to secure expert consultancy services. The study described by Ou-chim promises to deliver detailed market insights, projecting a timeframe of six to nine months for its completion. This will encompass field research, data collection, and strategic recommendations integral to Mozambique’s green hydrogen adoption.
Mozambique’s abundant resources—water, sun, and wind—lay the groundwork for a sustainable green hydrogen industry. The careful planning and rigorous study promoted through this funding will equip Mozambique with the tools to harness these resources effectively.
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