|Description||The project will (a) accelerate, in a commercially viable manner, the use of electricity for economic growth and improved quality of life in underserved areas; and (b) strengthen Mozambican capacity to expand the energy sector for both domestic and export markets. Phase I has three components: (i) Grid electrification and power sector reforms; (ii) Renewable energy promotion; and, (iii) Institutional strengthening and capacity building. The renewable energy promotion component will in turn consist of (a) investments in large, institutional size solar PV systems, household PV systems, and grid-connected renewables technologies (in particular, wind and micro-hydro, possibly biomass gasification); and (b) technical assistance and capacity building in both public and private sectors. It is expected that Phase I activities will provide the framework for rapid and sustained removal of barriers to the acceptance and financing of renewables-based electricity supply options for both retail and grid-connected uses.
Phase II would scale-up the investments from Phase I, using selected delivery mechanisms, including implementation of the adopted private participation options for Electricite de Mozambique. Adequate M&E provision will be made for the development of a replication and acceleration strategy for Phase II via technical assistance, training, and information dissemination. Phase II requires satisfactory M&E and documentation of Phase I results, plus a detailed workplan and budget.|