Mozambique has begun construction of a solar power plant in Chifunde district, Tete Province, aimed at supplying electricity to more than 1,200 households, the state news agency reported on Thursday.
The project, named “Nkantha,” is being implemented by the Mozambique Energy Fund (FUNAE), the agency in charge of rural electrification. Construction is expected to take about eight months. The plant will have a capacity of 750 kWp and is estimated to cost $12 million.
South Korea is financing the project through the Korea Institute for Advancement of Technology under a bilateral agreement signed with Mozambique in February 2026.
The facility will supply households, support local economic activity and expand access to electricity in an area largely outside the national grid.
Mozambique has expanded electricity access in recent years, with more than 400,000 new connections recorded in 2025. However, rural areas remain significantly underserved. A World Bank assessment published in September 2025 under its “Energy for All” program estimated national access at about 60% at the end of 2024, up from 31% in 2018.
The gains have been partly driven by the World Bank-backed ProEnergia program, which has accelerated grid connections. Despite this, disparities persist. World Bank data for 2023 shows that only 8.9% of the rural population has access to electricity.
Around 70% of Mozambicans live in rural areas, where low population density increases the cost of extending the grid, according to a World Bank Country Climate and Development Report published in 2025.
In its 2025 energy policy review, the International Energy Agency said electricity generation remains dominated by hydropower, leaving the system vulnerable to climate shocks such as droughts and floods.
Authorities are therefore seeking to diversify energy sources. Mozambique’s National Energy Compact, published in 2025, targets universal electricity access by 2030 through a mix of grid expansion, off-grid and decentralized solutions.
Abdel-Latif Boureima
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