Mozambique: Power utility profits up 150%

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Mozambique: Power utility profits up 150%

12:33 CAT | 01 Sep 2023

File photo: EDM

The profits of Eletricidade de Moçambique (EDM) more than doubled in 2022 to 5.22 billion meticais (€75.3 million), according to the report and accounts of the state-owned electricity company, to which Lusa had access on Friday.

According to the document, the company recorded a net profit of almost 2.1 billion meticais (€30.3 million) in the 2021 financial year, so profits grew by almost 150% last year.

The company has a share capital of 51.72 billion meticais (€747 million) and ended 2022 with total assets of more than 261.67 billion meticais (€3.88 billion) and liabilities of 138.22 billion meticais (just under €2 billion).

EDM’s turnover in 2022 was 46.83 billion meticais (€676 million), a growth of 10% in the space of a year.

The document adds that the number of EDM customers increased by 14% in 2022, compared to the previous year, to 2,936,751, also advancing the “expansion of the network and the intensification of new connections”, which allowed 356,640 more families “to benefit from electricity, exceeding the target set in the business plan by 11.5%”.

The population’s Household Access Rate to the electricity network increased by four percentage points in 2022, to 43% in 2022.

According to EDM, of the country’s 416 administrative posts, 318 are connected to the National Electricity Grid, which represents a coverage rate of 76% across the territory.

The Mozambican electricity company ended 2022 with 3,864 permanent employees, and management admits that it is resorting to “subcontracting to cope with the staff shortage” in order to “meet” the increase in demand “and fulfil the annual target of connecting 320,000 new customers to the National Electricity Grid”.

At the end of last year, EDM operated a medium-voltage distribution network of 22,992 kilometres and a transmission network of 6,355 kilometres with 15,906 pylons.

READ: Mozambique: EDM lost 120 million meticais in H1 due to illegal connections – AIM

Source: Lusa