July 19, 2024

Angola signs historic electricity connection agreement with Zambia and DR Congo, boosting regional energy integration

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Angola signs historic electricity connection agreement with Zambia and DR Congo, boosting regional energy integration

Angola signs historic electricity connection agreement with Zambia and DR Congo, boosting regional energy integration

The Angolan government finalized a landmark agreement to establish an electrical interconnection with the Democratic Republic of Congo (DRC) and Zambia, spanning over 1,200 kilometers and backed by a private investment of €1 million.

João Baptista Borges, Minister of Energy and Water (Minea), underscored the strategic significance of the agreement during the signing ceremony involving Minea, Angola’s national electricity transmission network, Promarks Energy, and Trafigura (project sponsors).

Borges emphasized that Angola’s surplus energy production can be leveraged to meet significant demand, particularly from the mining sector in neighboring regions.

“Angola currently boasts an installed energy production capacity of 6,500 megawatts (MW) against a domestic demand of 2,300 MW, allowing us to export up to 2,000 MW to the eastern regions of Zambia and the DRC through this new interconnection,” Borges stated.

The anticipated annual revenue from this initiative is estimated at approximately €694 million ($750 million).

The transmission line will connect Angola’s Middle Kwanza region, the hub of its energy production, to the copper belt, with infrastructure development expected to span about two years.

Minister João Baptista Borges highlighted that this interconnection will complement existing railway transport in the Lobito corridor, primarily used for freight, by integrating energy and communications infrastructure, including fiber optics.

“The energy transmission operator, responsible for the line, will negotiate tariffs directly with end-users, such as mining companies, in a purely private arrangement,” Borges clarified regarding pricing mechanisms.

This privately-funded project, without public financing, promises mutual benefits for all involved countries, Borges assured.

He also noted Angola’s plans for further interconnections in the southern region and other parts of the DRCongo, aiming to enhance regional economic integration and energy security.

The initiative marks a significant step towards regional energy cooperation and economic development, positioning Angola as a pivotal player in meeting energy demands across borders while fostering sustainable economic growth in the broader Southern African region.

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