Africa-Press – Mozambique. The Mozambique Liberation Front (Frelimo), currently in power, has called for the energy produced by the Cahora Bassa Hydroelectric Dam (HCB), one of the largest dams in Africa, to be paid at its “real commercial value”.
In the final statement from Frelimo’s Political Commission meeting held on Monday in Maputo, it was recalled that the Head of State, Daniel Chapo, who is also the party’s president, led the central event on Sunday marking the 18th anniversary of the reversal of HCB from the Portuguese state to Mozambique.
“An energy project that constitutes one of the strategic pillars in the country’s path towards economic independence,” states the Political Commission’s position, adding: “The anniversary challenges the company and the Mozambican state to a new approach in energy production in the country and its real commercial value within the national context and the Southern African region.”
On Sunday, the Mozambican President also called for reforms in the country’s energy sales model, adapting best international practices and considering the real value of energy resources in “hard currency”, to safeguard national interests.
“Reform the energy marketing model (…). Adjust it to the best international practices, make it an instrument to protect the national interest and the Mozambican people,” said Chapo in the province of Tete, in central Mozambique, during the celebrations of the HCB reversal, which exports electricity to several African countries.
He added that Mozambique’s energy sales model should not only consider nominal tariffs but also the real value in “hard currency”, to mitigate the impact of currency depreciation and align Mozambique’s commercial practices with “mature markets” internationally.
“Mozambique must earn more, the Mozambican people must gain more, and Cahora Bassa must lead this change with our support, of course, as a Government,” said the Head of State, who pointed out challenges for HCB managers regarding an asset “that cost the sweat of Mozambicans”.
He immediately called for the development of hydropower cascades on the Zambezi River — which includes, among others, Cahora Bassa and the future Mphanda Nkuwa dam — to ensure greater efficiency in water storage and increased energy production.
“Properly integrate HCB into Mozambique’s legal and institutional energy sector framework. HCB is the heart of Mozambican energy, as we said here, it is our most powerful asset in the energy sector, without a doubt,” Chapo said.
He also requested the launch of a social development and rural integration programme that should be more than a model of assistance and donations, but rather a transformative and wealth-generating initiative.
HCB is 85% owned by the state-owned Zambezi Electric Company, 7.5% by the Portuguese company Redes Energéticas Nacionais (REN), which holds 3.5% of its own shares, while the remaining 4% are owned by Mozambican citizens, companies, and institutions. The dam provides over 80% of the electricity consumed in Mozambique.
The Cahora Bassa reservoir is the fourth largest in Africa, with a maximum length of 270 kilometres and a width of 30 kilometres between banks (covering 2,700 square kilometres), with an average depth of 26 metres. It employs nearly 800 workers and is one of the largest electricity producers in the southern African region.
The dam is located in a narrow gorge of the Zambezi River and was built between 1969 and 1 June 1974, during the Portuguese colonial period, followed by the filling of the reservoir. Commercial operations began in 1977, with the first transmission of 960 megawatts (MW) generated by three turbines. Its current installed capacity is 2,075 MW.
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