Context:
Following an invitation made by the African Development Bank (AfDB), the African Union Development Agency (AUDA NEPAD) and the International Energy Agency (IEA) MOTRACO – Mozambique Transmission Company – had the profound honor and privilege to showcase is operational and financing experience, along with its 25 years of accumulated knowledge to a side-event at the G20 ETWG held in Sun City/South Africa on 30 July 2025.
The discussions were focused on regional energy sector integration, under G20 ETWG Priority 3 – African Interconnectivity and Energy Pools – with a focus on improving cross-border energy trade and supporting the development of critical energy infrastructure across Africa. Priority 3 is structured in 3 main outcomes, namely (i) Exchange of Best Practices, (ii) Policy Harmonization and (iii) Infrastructure Investment Planning.
MOTRACO’’s Experience and Knowledge:
In accordance with MOTRACO the key contributing factors for its success story were:
- The enabling investment climate and regulatory framework created by the Government of Mozambique;
- The alignment among the governments of Mozambique, South Africa and Eswatini on the vision and importance for the three countries traversed by the MOTRACO;
- Eskom had excess capacity at competitive prices;
- Existence of a large industrial aluminum smelter interested to invest in Mozambique;
- All three partners – EDM, Eskom and EEC – able to contribute equally in terms of equity, thereby eligible to receive a fair share of benefit.
Further, MOTRACO indicated that a replication of the model as possible, although the current circumstances became more challenging in terms of power availability, cost of supply and supply chain that needs to be deployed – i.e. financing, generation capacity, transmission and consumption.
