Abundant natural resources mean that Mozambique has strong potential to develop a hydrogen industry. It is especially well-positioned for the development of green hydrogen, derived from renewable energy sources, as efficient and cost-effective hydropower already dominates the country’s energy mix.
Officials say Mozambique will be investing US$80 billion in the hydrogen sector by 2050 and will finalise details this year of the scale of hydrogen production and main export markets.
Maputo also acknowledges the need to develop appropriate infrastructure, including production facilities, storage, and transport networks, in collaboration with national and international partners. Establishing regional partnerships will allow “for a regional hydrogen economy, reducing the costs of developing hydrogen infrastructure and creating a broad market for hydrogen products and services,” officials say.
Existing resources and infrastructure will also get a boost under the plan with the addition of 3.5 GW of new hydroelectric capacity, achieved largely through modernisation of existing plants, and a boost to solar and wind energy through a renewable energy auction programme.
To absorb this increase in renewable energy generation, the plan also calls for the expansion and modernisation of the national grid.
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