Mozambique has a total renewable potential of ~23,000 GW. Solar potential is the most abundant resource at 23,000 GW, followed by hydro (19 GW), wind (5 GW), biomass (2 GW), and geothermal (0.1 GW). Of this total resource, approximately 7.5 GW of priority projects have been identified in the Atlas, comprising 5.6 GW of hydro, 1.1 GW of Wind, 0.6 GW of solar, 0.13 GW of biomass, and 20 MW of geothermal.
Mozambique has significant and virtually unexploited solar potential. Global horizontal irradiation varies between 1,785 and 2,206 kWh/m2/year. In total, Mozambique has a potential of more than 2.7 GW that could be easily developed. This potential offers many possibilities for grid-connected and rural electrification projects. The Renewable Energy Atlas identified 189 locations for grid-connected power plants, close to existing substations, with a total capacity of 599 MW. The provinces of Maputo and Tete have the highest potential for grid-connected solar projects, essentially due to the favourable grid infrastructure. There is approximately 1.3 MW of solar PV-based mini-grids installed in Niassa funded by the Government of South Korea, approximately 200 kW (50x 4 kW each) of solar PV-based mini-grids funded through the Portuguese Carbon Fund, and a handful of multi- and bi-lateral programmes (e.g. World Bank, Belgian Development Agency (BTC), UNIDO, Energising Development) focused on the installation of SHS on rural institutions, micro-enterprises, and households. Current installed capacity in the country is estimated to be 2.2 MW.
Since the rural population is highly dispersed, the majority of these projects are off-grid, stand-alone systems and decentralised mini-grids. When selecting locations for PV systems, priority is given to government institutions including schools, hospitals, and government administrative functions. In the absence of an incentive system, active commercial markets have not yet developed and there is relatively little private participation. A factor for that may also be that consumers may prefer to wait for arrival of FUNAE funded projects compared to private projects, given their cost disadvantage.
The Government’s renewable strategy also includes targets for the installation of 100,000 solar water heaters and 5,000 solar refrigerators up to 2025.