DBSA Finances Ignite to Electrify 2.5 Million Rural Mozambicans

Executive director Pedro Coutinho of Source Capital, a company that finances Ignite Mozambique, says DBSA’s support will be divided into two phases. A first phase, budgeted at around US$2.2 million, is expected to finance around 30,000 solar system installations. Depending on its success, a second disbursement may reach US$30 million.

The original agreement between Ignite and Mozambique’s Ministry of Mineral Resources and Energy was signed in February 2019 set out a plan to reach 1.8 million Mozambicans. The added DBSA financing will now extend the reach to 2.5 million people across the country.

At the moment, basic lighting systems capable of supplying three globes are being installed, at a monthly cost of 300.00 meticais for a period of three years.

So far, about 7,000 installations have been carried out in districts of Zambézia and Niassa provinces. By the end of this year, the number is expected to rise to 12,500, and the project will expand to the provinces of Sofala and Manica.

“Based on the experience we have, I would say that our ambition is, in the second year, to stabilise at around 50,000 to 60,000 connections per year,” Coutinho says, reflecting the optimism regarding the impact of the new funding on the project.

Author: Bryan Groenendaal

Leave A Reply

About Author

Green Building Africa promotes the need for net carbon zero buildings and cities in Africa. We are fiercely independent and encourage outlying thinkers to contribute to the #netcarbonzero movement. Climate change is upon us and now is the time to react in a more diverse and broader approach to sustainability in the built environment. We challenge architects, property developers, urban planners, renewable energy professionals and green building specialists. We also challenge the funding houses and regulators and the role they play in facilitating investment into green projects. Lastly, we explore and investigate new technology and real-time data to speed up the journey in realising a net carbon zero environment for our children.

Receive the week’s most popular stories in your inbox every Saturday morning