EDM RURAL ELECTRIFICATION PLAN
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1 EDM RURAL ELECTRIFICATION PLAN By Marcelino Alberto Executive Board Member EDM, E.P. Mozambique Maputo 16 th November
2 Company Profile: The EDM as a State Company was established in 1977, two years after the independence of Mozambique. Its aim was the establishment and operation of public service of production, transmission and distribution of electricity. Within the context of restructuring the economy of the country in 1995, the EDM was transformed into public company, through Decree 28/95, inherited a burden of debt associated with the investment made in hard return of capital. Attention focused on the rehabilitation of infrastructure damaged during the war, improving the quality of service and the economic and financial profitability of the Company. 2
3 The company: ELECTRICIDADE DE MOÇAMBIQUE Mission: Exploration of generation, transmission, distribution and sales of electrical services of good quality safeguarding the public and environmental interests for the benefit of the consumer. Vision: Create, in a sustainable manner, value through the total satisfaction of clients' needs in electrical energy and related services. Values Integrity, Professionalism and Diligence Slogan with energy we build the future 3
4 Five years GoM action plan Generation: Promote actions in order to construct new thermal and Hydro stations namely: Mphanda Nkuwa, Moatize, Moamba, Benga, Boroma & Lupata, Alto Malema, Lurio and Massingir; Rehabilitation of Mavuzi and Chicamba Hydro stations Transmission: Reinforcement of transmission network through construction of new lines namely to connect the follow business centers to main grid: 110 kv Nampula - Pemba; 110 kv Cuamba - Lichinga; 110kv Lichinga Metangula; 220 KV Chibata Dondo; 110 kv Pemba - Montepuez Ancuabe 110 kv Alto Molocue Gile; 400 kv Songo Maputo; 110 kv Manhiça Macia; 400 kv Songo - Nacala 4
5 Five years GoM action plan Distribution: Proceed with process of rehabilitation and reinforcement of distribution network and household connections increasing the reliability of electricity supply with priority of urban and peri- urban areas; Proceed with Rural electrification extension with priority the connection of more District capitals to national network; Connection of about new customers/year 5
6 NATIONAL ELECTRIFICATION MASTER PLAN In 2004 EdM has developed Master plan which indicate total investment of 2.819,6 MUSD to meet the GoM strategy within the period , with the following main actions: Connect all the provincial capital to the main grid which is supported by the big hydro source Cahora Bassa with 2075 MW capacity; Connect all district head quarters to main grid; Elevate the number of customers from in 2004 to in Indicator * Electrification ratio 6.7% 11.4% 17.5% 25.6% HH connected 298, , ,510 1,590,985 Population million
7 ELECTRIFICATION RATIO AND CRITERIA Key factors determinant for selection of electrification areas: o Economic; Physical conditions such as communications, access roads in particular, agro-economic potential, natural conditions in general Economic development potential in general for the area, including tourism Particular development projects, for example an industrial project, with need for electricity and the benefits that other infrastructure and the area in general can derive from this electrification Distance to the existing grid. o Social; Population characteristics such as size and density of settlements, type of housing, level of development/income Local administration planning of infrastructure for the province and individual districts, schools, hospital and health unit 7
8 EdM MARTER PLAN To achieve the goals 28 projects where designed to be implemented within the period as follow. Master Plan Planned Projects Planned COST (MUSD) Executed Transmission ,00 3 Grid Extension Distribution Intensification Projects Generation Load Dispatch Total , % 8
9 LOW COST RURAL ELECTRIFICATION PLAN ( ) PROJECTS Package EdM Region and Province 1 Central, Zambezia 2 Northern, Cabo Delgado 3 Northern, Niassa 4 Northern, Nampula 5 Northern, Niassa 6 Central, Tete and Manica 7 Southern, Gaza 8 Southern, Maputo 9 Southern, Inhambane Districts Household Connections Development Costs in USD million Pebane, Lugela and Ile Districts 15, Chiure Districts 11, Cuamba and Mecanhelas Districts 7, Nacala-a-Velha, Angoche, Meconte and 16, Mogovolas Districts Marrupa, Nipepe and Lago Districts 7, Tsangano (Tete), Barue (Manica), 10, Gondola (Manica) Mandlakaza District 6, Boane District 3, Hormoine, Morrumbene Districts 7,
10 National Transmission Grid in 2004 GENERATION: EDM: HCB: TOTAL: 118 MVA MVA MVA 2004 TRANSMISSION: EDM: HCB (IPP): MOTRACO (ITC): TOTAL Km Km 600 Km Km DISTRIBUTION: MV & BT 7700 km CUSTOMERS (5.8%) PEAK LOAD MW 10
11 National Transmission Grid in 2011 GENERATION: EDM: HCB: TOTAL: 118 MVA MVA MVA TRANSMISSION: EDM: HCB (IPP): MOTRACO (ITC): TOTAL Km Km 600 Km Km DISTRIBUTION: MV & LV km COSTUMERS PEAK LOAD 555 MW 2011 All Capital Districts Electrified 11
12 Project Implemented (Southern Region) PROJECT DESCRIPTION DONNORS Valour (MUSD) Construction of 275/66KV Matola Substation (Dezember 2006) Kuwait/Opec Reabilitation of Matola Distribution Network (December 2005) DBSA 12,00 Reabilitation of Maputo/Matola (October 2005) ICO/SPAIN 7,77 Electrification of Morrumbene, Massinga, Morrungulo e DANIDA 4,02 Mavila (April 2008) Reabilitation and reiforcement of Maputo distribution system (May 2008) Commissioning of 2 nd transformer at Machava Substatation DBSA 0.38 Electrification of Maputo Magoanine using Low-cost tecniques DANIDA 0,64 (Nov 2004) LCREP - Inhambane DANIDA 11.4 Electricity II EdM 0.4 Rural Electrification to Gaza Province (December 2009) EXIM BANK 20,00 Rehabilitation of infrastructures damaged by Paiol Explosion DANIDA 4.3 ERAP PROJECT IDA 16,00 Nacional Control Center (April 2008) DANIDA 4,86 12 DANIDA 23,50 TOTAL SOUTHERN REGION
13 Project Implemented (Center Region) PROJECT DESCRIPTION DONNOR Valour Rural Electrification of Namacurra (Dezember 2005) Electrification de Namacurra, Maquival, Zalala, Macuse, Maganja (MUSD) NORAD 8,76 da Costa e Inhassunge. Rural Electrification of Sofala, Manica e Tete (Dezember 2008) ASDI 16.3 Rural Electrification of Chibabava-Sofala Province (Junho 2009) DANIDA 4.34 Rural Electrification of Gorongosa (Junho 2005) KFW 4,35 Rural Electrification to Zambeze Province-Gilé ( December 2008) EXIM BANK 10 Rural Electrification to Zambeze Province-Pebane ( December 2008) NORADA 6,0 SVC - Mocuba GoM Rehabilitation of Chimoio SE and acquisition of 110/33/22 kv, 10 MVA Belgium 6.3 mobile SE Electrification of Marromeu (110kV) (Nov 2007) KFW 8,83 13
14 Implemented Project (Center Region) PROJECT DESCRIPTION DONNOR BUDGET Rural Electrification to Districts of Tete Province (April 2009) Electrification of Furancungo, chifund, Mphend, Tsangano, Chioa, (MUSD) GdM/EU 32,0 Chipalapala, Dúmue, e Zumbo. Rehabilitation of Beira Distribution network DBSA 14,0 ERAP PROJECT IDA 6,00 TOTAL CENTER REGION 126,91 14
15 Implemented Project (Northern Region) PROJECT DESCRIPTION DONNOR Budget (MUSD) 110 kv line Nampula - Pemba - Fase I (Dezembro 2005) BADEA/BID 27,97 Rural Electrification to Cabo Delgado-Fase II (April 2010) BADEA/BID 10,25 Electrification of Metoro, Ancuabe, Montepuez, Chiure e Namapa. Rural Electrification to Cabo Delgado-Fase III (Dez 2011) Electrification of Macomia, Meluco, Mocimboa da Praia, Nangade, Mueda Meluco, Ibo, Matemo and Quirimbas. 110 KV line Gurué - Cuamba - Lichinga (Dez 2005) Electrification of Lichinga, Maniamba, Metangula, Cuamba, Lúrio, BADE/BID/ NORAD NORAD/ ASDI 53,00 46,43 Mutuali, Malema,Gurué, Lioma, Socone, Errego e Namarroi. Rural Electrification Mecanhelas and Maua (Marrupa) Niassa NORAD/ 6,00 Province (July 2010). ASDI Feasibility study for Lurio hydropower station (Dez 2009). USTDA 6,00 Low Cost Rural Electrification Project ( For All country) DANIDA 1,00 ERAP PROJECT IDA 6,00 TOTAL NORTHERN REGION 146,65 15
16 Implemented Project (SUMMARY) SUMMARY OF IMPLEMENTED PROJECT BUDGET (MUSD) Southern Region Center Region Northern Region Total Investment 397,33 16
17 Item Rural Electrification Forum 2011 Ongoing Projects 2011 Name of the Project Cost in [MUSD] 1 Feasibility Study of Second Line Caia - Nampula 1.80 IDA 2 Feasibility Study for Electrification of Vilanculos 0.05 ASDI 3 Feasibility Study of the Central - South Line (Cesul) 6.00 IDA/Noroega 4 Integrated Management System (Sigem) 1. Ongoig projects 6.74 IDA Funder 5 6 Update of Master Plan Capacity Building 1.30 AFD 4.00 Suecia 7 Rehabilitation and Reiforcement of Distribution network. Maputo City (Lot 1) Portugal 8 Rehabilitation and Reiforcement of distribution network. Maputo City (Lot 2) Portugal 9 Assembly of the Second Transformer in Matambo SS Banco Mundial kV Transmission Line Mavuzi - Chibabava 8.50 EU 11 Rehabilitation Chimoio SS and Acquisition of Mobile SS 110/33/22 kv 10 MVA 6.30 Reino da Belgica 12 Electricity IV (Chibata - Dondo 220kV) ADB/OPEC 13 Rural Electrification of north area of Gaza Province (110kV Lionde - Mapai) Exim Bam k da Correia 14 LCREP of Niassa IDB 15 EDAP (Expansion MV Network in Maputo, Manica, Tete, Nampula and Cabo Delgado) BM/Afund/OFID/AFD/EIB 16 Rural Electrification of Chibabava and Buzi, Sofala Province 9.67 Suecia / Dinamarca 17 Rural Electrification of Niassa, Cabo Delgado and Manica Provinces EXIM BANK/INDIA 18 MIXED CREDIT DANIDA 19 Rehabilitation of Matambo SE WB 20 Rural Electrification of Nampula, Zambezia and Inhambane EXIM BANK INDIA 21 Rural Electrification of Cabo Delgado Phase III- Adendum BADEA 22 SVC Nampula NORAD Rural Electrification of Chimbonila 2.00 NORAD 23 Rural Electrification of Pande 3.00 GoM 24 Electricity III ADB/OPEC TOTAL - Ongoing Projects
18 Electrified Capital Districts Districts 18
19 New Connections and Number of Customers The electricity access18% today) however still very low; 19
20 Rural Electrification Grid Extension strategy Use of national fix tariff; Use of cross subside to maintain the rural areas were there is no profits Use of pre paid meters to stimulate the low income consumers; Use funds from the donors for investment in rural electrification; Use of different stakeholders in electrification process ( EDM operations areas, local and foreign sub contractors; local e foreign consultancies) Continuous investment in human resource skill improvement; Investment of around 70 MUSD per year in rural electrification ( 65% from de donor source and 35% from EDM); 20
21 consequences Implemetation of the master plan - consequences All our main transmission & Distribution corridors are running over 90% of load; Our main substation are also running 80-95% of the installed capacity and are no long able to take constantly demand of the load; The demand in the country are growing in the around 15%. And the distribution infrastructures such transformers, cables and lines needs to be rehabilitated and reinforced; 21
22 [ MW] Rural Electrification Forum 2011 Implemetation of the master plan - consequences Load forecasting and supplying options > 400 MW 1. HCB Allocations; 2. Rehabilitation and reconversion of the existent Power stations; 3. New Power stations: a) Short term(1-3 years) using natural gas as a resource; b) Medium term (> 4 years) using hydro and coal resources; 22
23 Future Plan UPDATE OF MASTER PLAN to PERIOD EdM has mobilized MUSD 2.5 from AFD (France Development Agency) and contracted consultancy services to update the Master Plan. It is expected to be concluded by mid of
24 New Expansion Plan Achieve a electrification ratio of 44% in 2021; Improve the quality supply in the main cities, industrial areas and expansion areas; Continue implementation of loss reduction program and reduce the losses to 18%; Implementation and consolidation of the modernization programs such SIGEM ( integrated business unity, credelec online, automatic meter reading) Mobilize investments of MUSD within 2011 to 2021 which implies an annual investment of MUSD 340/year 24
25 New Expansion Plan No. Projects Budget [MUSD] 01 Generation Projects 1, Rural Electrification Projects Reinforcement and rehabilitation projects Transmission projects 1, Total planned projects 3,
26 Conclusions and WAY FORWARD Even with such bigger efforts the electrification ratio still very low 18% The continues donnor support will be crucial for rural electrification and massification; Continues monitoring and proper planning of new off grid areas to be electrified; Implementation of rural electrification low cost strategy has to continue. Consolidation of the prepaid meters in rural areas must continue 26
27 THANK YOU 27
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