RECAP: Mozambique Bets on Southern Africa’s Biggest Energy Project to Power the Future, in Half a Century
On the banks of the Zambezi River, Mozambique is embarking on an ambitious gamble that could redefine its economic future and light up millions of homes across southern Africa. Backed by the World Bank and a consortium of global energy giants, the $6 billion Mphanda Nkuwa hydroelectric plant is being billed as the region’s most significant power project in 50 years.
Slated to begin operations by 2031, the dam will produce 1,500 megawatts of electricity, which be enough to supply both Mozambique’s fast-growing population and energy-hungry neighbors like South Africa, Zimbabwe, and Malawi. For investors, it represents a rare opportunity: a mega-project blending renewable energy, regional integration, and long-term returns. For ordinary Mozambicans, it carries the promise of lights in schools, refrigeration in clinics, and a chance to step into the modern economy.
Mozambique’s government, which has struggled to provide consistent power to its 33 million citizens, most of whom live in rural areas, sees the plant as a cornerstone of its plan to achieve universal electricity access by 2030. “Electricity is more than energy; it’s opportunity,” said one energy ministry official. “This project will help turn villages into towns and towns into cities.”
The financing structure underscores the scale of ambition. Mphanda Nkuwa is a public-private partnership, with TotalEnergies, Électricité de France, and Mozambique’s own Hidroeléctrica de Cahora Bassa set to lead development. The World Bank’s involvement is seen as a confidence boost for private investors wary of political instability or cost overruns in megaprojects. Energy analysts say the project’s success could cement Mozambique’s role as a regional energy hub, much like its Cahora Bassa dam did in the 1970s.
But beyond investor presentations and government forecasts, the project is being closely watched by families who still cook over firewood and rely on candles after sunset. In rural communities, electricity is tied to hopes for safer childbirth, longer study hours for children, and jobs in small enterprises that can finally plug into a grid.
Skeptics, however, warn that megadams carry risks. Environmental groups point to potential impacts on river ecosystems and communities downstream. Others question whether the bulk of electricity will serve Mozambican households or be exported for profit. For now, the government insists the balance will tilt toward domestic needs, with exports providing the revenues to sustain the project.
What is clear is that the Mphanda Nkuwa plant has become a symbol of possibility. It embodies Mozambique’s push to move from one of the world’s poorest nations, by per capita income, toward a future powered by its abundant natural resources. For investors, it is a bet on stability and growth. For families along the Zambezi, it is about the promise of flipping a switch and seeing the lights come on.
