LUSA 10/10/2026

Lusa - Business News - Mozambique: UK firm bids for 4 60 km power distribution line

Maputo, Oct. 9, 2026 (Lusa) - Gridworks, the UK Government's electricity grid investment platform, has launched a pre-qualification process for contractors for a 460-kilometre power transmission project in Mozambique, valued at €386 million.

According to the tender notice, which GW Mozambique Investments LLP, an affiliate of Gridworks, and Eletricidade de Moçambique (EDM) issued, and to which Lusa gained access today, the aim is to select companies for the construction, supply, installation, testing and commissioning of infrastructure for the Chimuara-Nacala Power Transmission Line (LTEC), linking the centre and north of the country – the first project of its kind.

According to the call for pre-qualification, which runs until 24 November, the contract involves three power transmission lines, namely a 400-kilovolt (kV) line between Alto Molócuè and Namialo, 272 kilometres long, a 220-kV line between Namialo and Nampula, 98 kilometres long, and another 220 kilovolts line between Namialo and Nacala-a-Velha, 92 kilometres long.

The project also includes building a new 400/220/110 kilovolts substation in Namialo, a new substation in Nacala-a-Velha and expanding the Nampula substation, including new switchgear, transformers, protection, control, telecommunications and grid supervision systems.

On the project's official website, Gridworks states that the LTEC represents a total estimated investment of $450 million (€386 million) and involves the construction of approximately 460 kilometres of transmission lines and substations to enhance the reliability of the electricity infrastructure between the central and northern regions of Mozambique.

The company adds that the new infrastructure should unlock around 600 megawatts of additional power generation capacity, facilitate the transmission of hydroelectric and solar power to the north of the country, and lay the groundwork for a future power interconnection between Mozambique and Tanzania.

According to the company itself, the LTEC will be the first privately funded power transmission project in Mozambique, developed in partnership with Eletricidade de Moçambique.

Gridworks was established in 2019 as a platform dedicated to the development of and investment in electricity grids in Africa, operating in the areas of transmission, distribution and electrification.

The company is wholly owned by British International Investment (BII), a UK development finance institution, and is funded by the UK Government to support strategic energy infrastructure projects on the African continent.

The company claims to be one of Africa's leading investors and developers of electricity grids, working with governments, utilities and private investors to mobilise funding for energy transmission and distribution infrastructure.

On 1 July 2025, the International Finance Corporation (IFC), the World Bank's private sector arm, announced its support for the second and third phases of the LTEC, committing to share development costs, provide technical support and help structure the project's finances.

When the project was announced on 1 May 2024, Mozambique's government said that the United Kingdom had guaranteed the provision of $450 million to finance the second and third phases of the Chimuara–Nacala link, which is considered strategic for strengthening the energy supply to the central and northern regions and supporting the industrialisation of economic zones such as Mocuba and Nacala.

PVJ/ADB // ADB.

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