THE World Bank has approved a $350 million grant for the Mpatamanga Hydropower Storage Project, a landmark initiative expected to double Malawi’s hydropower capacity and extend electricity access to over one million households.
The financing was confirmed in a statement issued late Thursday by the Bank, which described the project as a critical investment in Malawi’s energy future.
Powering homes, boosting jobs
Situated along the Shire River, the Mpatamanga project will generate 358 megawatts of power through two new dams constructed between existing hydropower stations. It is expected to significantly ease energy deficits and create thousands of new jobs across construction and operation phases.
Landmark investment in infrastructure
With a total estimated cost of over $1.5bn, the project stands as Malawi’s largest foreign direct investment to date, according to the World Bank.
A development consortium led by Electricité de France (EDF) and SN Malawi BV—a joint venture involving British International Investment, Norfund, and TotalEnergies—was selected by the government in September 2022 to lead the build-out.
Expanding access and climate resilience
Malawi currently faces frequent power shortages and limited national coverage. This new project is poised to transform energy access, especially in rural areas, while strengthening climate resilience by regulating water flows and integrating renewable energy sources.
The World Bank said the project would not only drive economic growth and foreign investment, but also bolster healthcare, education, and agricultural productivity through more reliable electricity.
