Release by Scatec, a subsidiary of Norway’s Scatec energy group, announced on Tuesday, November 11, the signing of a power leasing agreement with the national utility EMAE to build an 11-megawatt (MW) solar power plant at Água Casada. The project is expected to avoid about 13,000 tons of CO₂ emissions each year and reduce fuel imports. With an installed capacity of 38 MW but only 19 MW currently available, the country sees this project as an important step toward a more stable and affordable power supply.
São Tomé and Príncipe currently generates less than 5 percent of its electricity from renewable sources. Most production comes from five thermal plants fueled by diesel. Recurrent diesel shortages have worsened the country’s energy insecurity and strained its public finances.
According to the “National Energy Compact” released under the Mission 300 initiative, the country’s GDP contracted by 0.5 percent in 2023, while the domestic primary fiscal deficit reached 1.7 percent of GDP, reflecting the impact of external shocks and high fossil fuel costs.
“This agreement marks a significant step toward a cleaner, more sustainable future for São Tomé & Príncipe. We’re not only reducing emissions but also empowering the nation with reliable, affordable energy,” said Hans Olav Kvalvaag, CEO of Release.
The agreement supports the national energy transition plan, which aims to reach 50 percent renewable energy in the electricity mix by 2030. The government also plans to raise electricity access from 84 percent to 100 percent by combining solar photovoltaic and hydroelectric power to electrify rural areas and strengthen grid resilience.
Abdoullah Diop
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