'We have gone from a sector with great potential, but little addressed, to a main sector in order to achieve the universal access goals by 2030'
Almost two years have passed since I wrote the first editorial about the BRILHO Energy Africa program, its mission, objectives and approach.
During this period, there was a profound evolution of the off-grid energy sector in Mozambique. We have gone from a sector with immense potential, but little addressed, to a central sector for achieving the universal access goals by 2030.
At the end of 2021, the Government of Mozambique (GdM) estimated that by 2030 around 40% of all new energy connections would be through off-grid technologies, through domestic solar systems and mini-grids, and this year by 2022, around 25% of these additional connections were reached by business initiatives supported by the BRILHO program.
This evolution of the off-grid energy sector ecosystem is due to two key elements:
1. Approval of the modern and complete regulatory framework for the sector, which marks a new era for the energy sector and especially for mini-grid developers and operators to be able to work in Mozambique. Thus, the country joins the other neighboring countries with mechanisms to catalyze the off-grid energy sector and guarantee the necessary conditions for the private sector to accelerate its investments and scale its performance in a diverse set of technologies applicable to the off-grid context, such as homemade solar systems, mini-grids and improved cooking solutions;
2. The exponential growth in the number of business initiatives undertaken by private sector partners, and their growth in the provision of energy products and services.
In this way, it is with great pride and a sense of responsibility that SNV – Dutch Development Organization, through the BRILHO program, reaffirms its commitment and collaboration for the materialization of these two elements, and feels honored by the trust of the Government of Mozambique, namely the Ministry of Mineral Resources and Energy (MIREME), the Energy Regulatory Authority (ARENE) and the National Energy Fund (FUNAE), in the role of leadership, coordination and technical support in this process.
During the last two years, the BRILHO program has developed an investment portfolio with 22 active companies, which are operating in all provinces of Mozambique, distributing quality technologies and promoting innovative business models that allow their acquisition by needy populations.
Access to energy has had a great impact on improving the families quality of life but, at the same time, has proven to be a starting point for creating business and income generation opportunities, enabling economic and social development in local communities. By September 2022, the program has already achieved the following results:
+ 884,000 Mozambicans with access to energy and improved cooking solutions;
+ 13,000 micro and small local businesses that make commercial and productive use of these technologies;
+ USD 20 million of private investment mobilized;
+ 202,000 tonnes of CO2 emissions avoided.
These results show an enormous growth in the sector in recent years, also recognized by international organizations such as GOGLA, which highlights Mozambique as one of the markets that grew the most in the last two years.
Undoubtedly, these results are very encouraging and positive. This is the time when all public, private and development actors and sector associations such as ALER will need to join forces to maximize the full potential of the sector in its contribution to achieving our common goal of universal access to energy in 2030.
About BRILHO
BRILHO is a five-year program (2019-2024), funded by the Foreign, Commonwealth & Development Office (FCDO) of the British Government and the Swedish International Development Cooperation Agency (Sida) of the Government of Sweden, and implemented by SNV - Organization Dutch Development.
The aim of the program is to encourage the private sector to focus its efforts, resources and innovative capacity to develop and invest in quality and affordable off-grid energy products, systems and services in order to improve the lives of low-income people. in Mozambique.
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