he World Bank (WB) has approved a donation of 350 million dollars from the International Development Association to support the Mpatamanga Hydroelectric Storage Project (Mpatamanga Hydropower Storage Project/MHSP) in Malawi, a plant that could supply more than 1,500 gigawatts of energy a year.
The release of the amount is subject to resource mobilization. This additional energy will help provide electricity for more than a million new homes in the country and create thousands of job opportunities.
"The MHSP is one of our Government's top priorities as it is the lowest cost option to meet our growing demand for energy and achieve our access targets," said Ibrahim Matola, Minister of Energy, quoted in a WB note. "Once operational, this project will help boost long-term energy security and support lasting and inclusive economic growth. Access to energy is key to reducing poverty, fostering economic growth and attracting private investment."
The MHSP was developed jointly by the Government of Malawi and the International Finance Corporation (part of the World Bank Group) as a public-private partnership (PPP) with a total expected cost of more than 1.5 billion dollars, including financing costs during construction.
The MHSP is one of several major energy projects in Malawi supported by the World Bank Group, reflecting the institution's strong commitment to supporting this sector as an important enabler of economic growth and development. Other important investments include the Emergency Power Restoration Project, focused on the rehabilitation of the Kapichira hydroelectric plant, the Mozambique-Malawi Regional Interconnection Project and the recently approved Accelerating Sustainable and Clean Energy Access Transformation (ASCENT) project in Malawi to improve last-mile electricity connections for the Malawian population.
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