Mozambique-Malawi regional interconnector EPC tender imminent

Mozambique's state-owned electricity utility Electricidade de Mocambique (EdM) is expected to launch an EPC tender for the $130 million Mozambique-Malawi regional internconnector project before the end of March. The news follows late demands from the project lenders to appoint a procurement officer.

The lenders on the project have been in place since October 2019. The financing comprises a 38-year $15 million loan provided by the World Bank, a $20 million grant put up by the government of Germany via KfW, and the government of Norway will provide a $24 million grant. 

The World Bank will also provide a $42 million grant to Mozambique, while Mozambique's Ministry of Finance will also put up an additional $7 million. The government of Mozambique intends to use the power link-up with neighbouring Malawi to expand on its energy policy of exporting electricity abroad via the Southern African Power Pool.