Mozambique

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Solar Power, Grid, Improved Cooking

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Technologies picoPV grid densification improved cookstoves (ICS)
EnDev 1 May 2005 -
December 2009
EnDev 2 October 2009 -
February 2018
Partners Ministry of Mineral Resources and Energy (MoE) / Electricidade de Mozambique (EdM) / Fundo de Energia (FUNAE) / Provincial departments / Micro finance institutes (MFIs) / NGOs / private sector / universities
Implementers GIZ
Outcomes (12/2016) Access to electricity:
  • 191,000 people

Access to modern cooking energy:

  • 367,000 people

Access to modern energy services

  • 9 social institutions
  • 51 SMEs

Figures reflect the non-adjusted sum of EnDev 1 and EnDev 2 outcomes. Read more in EnDev's Monitoring



Title-mozambique.jpg

Energy Situation

Mozambique, with its population of about 28.8 million people, belongs to the poorest countries in the world. The Human Development Index (HDI) 2016 ranks Mozambique 181 out of 188 countries dropping down from rank 180 in 2015. The rural-urban gap and income disparity have considerably increased since 2010. Almost 70% of the population lives on less than USD 1.90 per day (2016). Although being one of the larger energy producers in the region, the energy situation in the country remains challenging. More than 90% of the generated power is exported through the Southern African Power Pool (SAPP), leaving the national energy demand unsatisfied and causing an energy crisis on supply side. Albeit national efforts to increase the electrification rate have shown success bringing the rate up from 5% in 2011 to 26% in 2015, only 5.7% of the rural population uses electricity for lighting and more than 95% use traditional biomass to satisfy their cooking energy needs today.

For more information see energypedia.

Approach

In accordance with the core competences of the EnDev programme, EnDev Mozambique focuses on creating functional and self-sustaining  structures with a strong focus on market development. Following a bottom-up approach the project is enabled to feed  its experience and influence into top-down decision-making processes on government level.

EnDev Mozambique fosters access to modern energy services in three areas:

Poor households in peri-urban areas located close to existing low-voltage power lines are supported to gain access to the national grid. EnDev Mozambique works through agreements with Electricidade de Mocambique (EdM) on grid densification in selected areas. In a second step EdM subcontracts local companies to connect a certain number of preselected new customers. EnDev offers a one-time subsidy to poor households reducing the connection costs while at the same time creating awareness, supporting credit-based payment schemes and fostering energy efficiency with the use of efficient light bulbs.

In the field of small solar products (picoPV) and solar home systems (SHS) the project works closely with the private sector on all levels along the value chain. Technical and business training is offered to importers, wholesalers and retailers of solar products while networking and business relationships are facilitated between them. One focus is to unlock import capacity to bring a wider range of quality products to the markets. At the same time, efforts are being made to support new distribution channels reaching out into rural areas with new partners, where EnDev´s role is to assist the private sector with overcoming initial market entry barriers and developing last-mile distribution channels.

EnDev Mozambique supports the implementation of the national Biomass Energy Strategy (BEST) with a regional focus on comparatively high-populated areas in Maputo and Pemba to reduce transaction costs and make use of economies of scale. The emerging markets for improved cookstoves (ICS) are strengthened following a fully commercial approach working with local NGOs as implementers. In other words: no end-user price subsidies are granted. In a gradual process the support of the NGOs is reduced and the market is left to operate autonomously. Small entrepreneurs continue to be supported with training, awareness campaigns, marketing and access to finance options for their customers. For each implementing NGO the general approach is adjusted specific to the experiences and strengths of the respective implementer, the focus area, and target group.

Further Information

The factsheet on this country project is available for download here.

If you are interested in success stories from the country project, see here.