role of edm in renewable energy · 3 inluminando a transformação de moçambique transformation...

Inluminando a Transformação de Moçambique 1

ROLE OF EDM IN

RENEWABLE

ENERGY

Casablanca, November de 2017

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1. Transformation process in EDM

2. Role of EDM in Renewable energy;

3. Master Plan Vs National Electrification Strategy;

4. On-going Renewable Projects and on the portfolio;

5. PROLER

Content


Transformation process in EDM

Transformation goals:

The purpose of the EDM transformation is not privatization but rather to make it a company whose owner is still the state but managed using the same business practices that are used in the private sector;

Have a transparent inclusive governance and the company orientation to results, efficiency and profitability;

Ensure universal access of electricity for all Mozambicans by 2030;

Transformation of Mozambique into a energy Hub in the region;

It is expected that EDM will be transformed into a "Smart Utility" with high ethical and professional values

.


Institutional Transformation

Reforms:

- Elaboration of a Ethics code and conduct

- New organizational structure of the company with less Hierarchy and more functional (reduction of 75 Directors to 34 Directors. Reduction of 7 Hierarchy Levels to 4 levels)

- Selection in the competition basis of the Directors, Officers and Managers (Internal and External)

- Procurement Reform (Procurement Committees) and short-term Audit and Financial Control Committee

- Closing company accounts within the deadlines defined by law

- Development of the new remuneration policy

- Encourage the gender equality policy

- Plan to mitigate loss reduction

- Ensure adequate integration of IPPs

and Reinforce of the Regulatory System

Mobilization of Funds since 2015: - World Bank 150 MUSD

- KfW 15 MUSD, JICA 53,5 MUSD

- IFC, Proparco, FMO, ABSA, 266 MUSD

- AFD 4 MUSD

- BEI, KFW, Norway (STIP), 44,7 MUSD

Strategic Studies:

- EDM 10 years Strategy

- National Electrification Strategy

- Integrated Master Plan

- Study on the new tariff system

- Studies on the cost of supply

-Auditoria e Avaliação de Activos

Institucional Transformation


3600 Employees 1.4 million clients

Institutional Transformation – New Structure


Role of EDM in Renewable Energy

• EDM intends to diversify the mix of energy with the implementation of renewable energy projects in order to achieving universal access by 2030;

• EDM intends to develop renewable energy projects to be integrated in and out of the network (on-grid & off-grid) in the commercial perspective while FUNAE in the social perspective and in small scales;

• The National Electrification Strategy should clearly define the boundaries between EDM and FUNAE as well as the mapping and zones of action of each one


National Electrification Strategy vs Master Plan

National Electrification Strategy:

• It is based on the electrification of the country without distinction of customers in which presents the commercial and social aspects and EDM will focus on the Commercial component;

• It will define the process of how access to energy should be provided;

Integrated Master Plan:

• It is the plan to identify the type, quantity of on-grid and off-grid investments needed in generation, transmission and distribution for the country's electrification in order to provide universal access by 2030.


On-going Renewable Projects

PV Mocuba:

• PV with capacity 40MW to be connected on grid to Mocuba Substation, at Zambezia Province;

• Signed contract with SIEMENS to the integration of the PV to EDM grid;

• Construction to start end of 2017;

PV Metoro:

• PV with capacity of 40MW to be connected on grid to a Metoro Substation, Cabo Delgado Province;

• On-going mobilization funds .


Portfolio on the Renewable Energy

Solar:

• Cuamba (20MW), Lichinga (20MW); Dondo (40MW), Nacala (50MW), Beluluane (30MW); Nicoadala (60MW); Mocimboa da Praia (50MW), entre outras

Wind:

• Namaacha (60-120MW), Manhiça (50MW), Xai-Xai (60MW), Mulambe (50-300MW), Cahora Bassa (50-300MW);

Biomass:

• Monapo (40MW), Gurué (40MW)


Next steps: Implementation of PROLER


Next steps: Implementation of PROLER

Funds:

• Financiamento (Grant), 4ME from EU-AITF to AFD under EDM management.

Goals:

• Design and implement a competitive scheme(auction) and transparent on grid renewable energy projects with commercial size up to 50MW;

Projet duration :

• The project will have duration of 4 years and pilot project will be launch in 2018. By the end of these 4 years, it is expected to launch a competition of 2-3 solar projects and 1-2 wind projects aligned to the Integrated Master Plan


Next steps: PROLER Struture


PROLER

• With the PROLER Project, EDM and MIREME are expected to capitalize on the lessons learned from the Mocuba and Metoro Projects;

• EDM and MIREME are also expected to lead the process of integrating Renewable Power Plants into the National Electric Network and not lead by promoters, has is been taking place;

• It is also expected Competitive, Transparent Implementation, Maximizing Quality and Minimizing Costs

• On the other hand, this initiative will strengthen our Planning Capacity, Procurement Process and transparency.


THANK YOU FOR YOUR ATENTION!

Renewable Energy and Eficiency Directorate

Olga Utchavo Madeira

[email protected]

+258 82 418 9080

mailto:[email protected]

mailto:[email protected]

role of edm in renewable energy · 3 inluminando a transformação de moçambique transformation...

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