TSE4ALLM program develops a line of credit for integrated renewable energy systems in Mozambique

UNIDO, through the project “Towards Sustainable For All in Mozambique” (TSE4ALLM), developed the BCI Super credit line with the aim of being a complementary component in the dissemination of integrated renewable energy systems for productive uses in rural areas in Mozambique.

This financial mechanism, created and managed by BCI, aims to facilitate access to loans for industrial companies. Under this credit line, Solar Photovoltaic projects for the agricultural value chain, or solar projects for productive use in the commercial sector; and, finally, projects to transform biomass into energy can be financed.

- Photovoltaic solar energy for the agriculture value chain:

There is a huge demand for this type of technologies, especially from producers looking to add value to their primary products and generate profit from their activities. The most popular product types that can benefit from these technologies include fish, fruit, vegetables, cereals, and seeds. Technologies under the agricultural value chain imply systems that rely on solar energy and a combination of other energy sources for proper food processing and conservation. These technologies include solar systems for water pumping and irrigation; Solar dryers for fruit and vegetables; Cooling systems for fish, fruit, vegetables; Ventilation systems for warehouses; Solar systems for processing (Grinding, peeling, cutting, packaging, etc.).

About 90% of the Mozambican rural population depends on agriculture for their livelihood. The methods used for cultivation are, in most cases, rudimentary and do not produce enough food for income generation and subsistence consumption.

In an interview given to the Newsletter “Towards Sustainable Energy for All-Mozambique”, Aldo Bauque, Manager of SUPERKWICK stated that “a macadamia tree consumes 20 litters of water per day. The installation of solar-powered submersible water pumps allows for a sufficient and reliable supply of water throughout the year".

- Solar systems for productive use in the commercial sector:

The limited supply of water for irrigation has been identified as one of the biggest constraints to agricultural production and there is a need to incorporate technologies for greater productivity and efficiency. Water sources largely depend on geographic location and availability of natural sources such as a river, pond or groundwater, and in each scenario a supply system must be designed. The funding will thus support the following systems: Water supply systems; Solar systems for generating electricity on commercial roofs; Solar systems for digital platforms in rural areas; Solar systems for recharging batteries; Solar systems for water heating.

- Transformation of Organic Waste into Energy:

Biomass can be converted into energy using different technologies such as anaerobic digestion and gasification technology. Most municipalities in Mozambique have faced a major waste management challenge. In general, waste generated in rural areas is mostly biomass residues (organic waste) and agricultural products. During the initial phase, cashew nuts, coconut husks and organic waste were identified as the main source of biomass waste that is generated in agricultural product processing and municipal waste management. The promotion of Waste to Energy Transformation Technologies focuses on technologies that include systems for using biomass for biogas production and systems for using biomass for electricity production.

The Solar powered sprinkler irrigation system is an example of a photovoltaic solar energy project for the agriculture value chain. In this context, through the BCI financing network, the Mozambican company SUPERKWICK LDA, responsible for the cultivation of a wide range of crops, recently installed a solar system capable of generating 2,515 W of energy to allow the pumping of water for irrigation of its crops.

Access the18th edition of the TSE4ALLM Newsletter and read the full article, available here.