Energias de Portugal groups takes electricity to Mozambican village

3 December 2015

The Energias de Portugal (EDP) group in Mozambique will build a small power plant to supply electricity to the village of Titimane, in Niassa province, said the Director of Planning Pedro Neves Ferreira.

Neves Ferreira told Portuguese newspaper Público that this was a pioneering project, with a business logic, where the electricity produced from the sun and biomass at the plant, will be charged for, “thus covering operating costs.”

The company to be set up has the support of cotton company Sociedade Algodoeira Niassa, of the João Ferreira Santos group, which buys cotton produced by the inhabitants of Titimane and will produce cotton pellets for burning at the biomass plant.

Cotton cropping was an important factor in selecting Titimane out of 30 potential isolated villages as it added biomass to the solar component, and it was precisely that fact “that pleased us, EDP and the United Nations Environment Programme.”

Neves Ferreira, without detailing the amount of investment put in by EDP alone, said that “between international donors and the Mozambican government, it is about one million and some euros”, with 860,000 euros relating to financing of the “Energy and Environment Partnership “(EEP) and the OFID/ARE (the fund of the Organization of Petroleum Exporting Countries).

The group’s Director of Planning also said that the share capital of EDP in the new company was still being discussed with the Mozambican government along with the terms of the concession contract and the entire tariff structure, which provides for the use of a prepayment solution. (macauhub/CN/MZ/PT)