Projects in Cape Verde and Angola, private investment and regional initiatives

“Em Perspectiva” is ALER’s new opinion and analysis series, where the latest developments, trends, and debates shaping the energy sector in Portuguese-speaking countries are examined.

In this first edition, Pedro Clemente, ALER’s Director of Operations, reflects on recent advances in the energy sector in São Tomé and Príncipe, Cabo Verde, and Angola, highlighting renewable energy projects, the role of public and private investment, and the importance of regional cooperation initiatives such as the AMAP project and the 2030 Cooperation Roadmap on Energy and Climate in CPLP Countries.

The conversation that gave rise to this article is also available as a podcast on Spotify.

Pedro, recent developments show that the energy transition is indeed taking place on the ground, with several new projects being inaugurated. How do you view this trend?

At ALER, we have been closely monitoring progress across Portuguese-speaking countries, each moving at different speeds and adopting different strategies to expand, modernise, and decarbonise their energy sectors.

Cabo Verde continues to demonstrate a very consistent capacity for implementation. Several tenders for renewable generation projects have moved forward and are now being implemented. I would highlight the expansion of the Cabeólica wind farm and the photovoltaic plants in São Vicente and Santo Antão developed by APP. Both companies are ALER members, which is a great source of satisfaction for us.

Cabo Verde is clearly on track to achieve – and likely surpass – the target of 50% renewable energy by 2030. What is particularly noteworthy is that this progress is not limited to solar and wind generation. There is also investment in energy storage, including batteries and hydropower, through the large pumped-storage project on the island of Santiago. These technologies are essential to ensure greater grid stability and complementarity between energy sources. Given its size, insular nature, and lack of fossil fuel resources, Cabo Verde demonstrates that energy independence is achievable with sound technical planning supported by strong institutional backing.

At a different scale, Angola has made very significant investments in recent years. The country already has several solar power plants in operation, including the Biópio plant, currently the largest solar power plant in sub-Saharan Africa, with nearly 190 MW of installed capacity.

Last December, the Cazombo photovoltaic park was inaugurated, representing the largest off-grid renewable energy system in Africa. With a capacity of approximately 25 MW, it is also the country’s first autonomous system equipped with battery storage to supply power during the night. Developed by MCA – also an ALER member company – this park is the first to be delivered under Angola’s Rural Electrification Project covering 60 municipalities. The project will enable annual savings of around 10 million litres of fuel, avoiding the emission of 37 tonnes of CO₂. It will also supply electricity to more than 136,000 people, bringing about a significant improvement in the quality of life of these rural communities and democratising access to energy in an efficient, clean, and reliable manner.

Another very important step was the signing, earlier this January, of the first power purchase agreement with independent power producers, on the sidelines of the 16th IRENA General Assembly. This represents a clear strategic shift, signalling the Angolan Government’s intention to increase private sector participation and move away from a model based predominantly on public investment and ownership.

One of ALER’s key messages has been that energy transitions require the involvement of all stakeholders. It will not be possible to achieve the defined targets without combining public and private investment. Is this increasingly becoming a reality?

Across different countries, there is growing recognition of the importance of creating an institutional, legal, fiscal, and technical ecosystem that facilitates investment and reduces perceived risk for investors and companies seeking to enter the energy sector.

Concrete steps have been taken in this direction, including more structural reforms, such as the ongoing revision of Angola’s electricity law, which is expected to reinforce this approach and create even more favourable conditions for new private investment.

Progress has also been made in more specific segments, such as rural electrification. In this context, ALER implemented the Africa Mini-Grid Acceleration Programme (AMAP) in four countries – Angola, Mozambique, Cabo Verde, and Guinea-Bissau.

Under this project, regulatory instruments were developed in Angola, guidelines for private sector participation were produced in Mozambique, and concrete proposals for the implementation of new mini-grids were put forward in Cabo Verde and Guinea-Bissau, including financing mechanisms.

This project held particular significance for ALER as it was our first truly regional initiative, involving technical teams from multiple countries and national associations working together, sharing experiences and best practices.

An additional impact was achieved through improved alignment and coordination among sector stakeholders. Numerous technical meetings, capacity-building sessions, and workshops were organised, helping not only to validate project outputs but also to consolidate a shared vision for the mini-grid segment in these countries.

These spaces for dialogue and knowledge exchange are essential at the national level, but also for attracting new technologies, expertise, and international partnerships. ALER has been actively organising and supporting national, regional, and international events and is already committed to contributing to the success of the 2nd International Conference on Energy and Water, to be held in Luanda on 28th and 29th May, recently announced by Angola’s Ministry of Energy and Water.

In this same spirit, ALER participated last December in RISE-STP, an investment forum for São Tomé and Príncipe held in Brussels. What is your assessment of this event?

It was a very interesting event. The forum brought together several members of the Government of São Tomé and Príncipe, international development partners, investors, and companies, who had the opportunity to learn about the country’s priority projects across various sectors, including energy. This is essential when seeking to mobilise investment.

ALER also had the opportunity to meet with the Prime Minister and the Minister of Natural Resources and Infrastructure, where we reaffirmed our commitment to supporting the country’s momentum by exploring further initiatives to mobilise investment and prepare a pipeline of mature projects, with a view to accelerating implementation on the ground.

A very concrete outcome of the forum was the signing of three financing agreements, totalling USD 18 million, which will support areas considered critical for the country’s sustainable growth: energy, climate-smart agriculture, and integrated water–energy–food nexus security.

The CPLP Thematic Commission on Energy and Climate, coordinated by ALER, recently published the 2030 Cooperation Roadmap for Energy and Climate in CPLP Countries. How do initiatives based on cooperation contribute to accelerating access to financing and investment?

The Roadmap was presented internationally during COP30 in Brazil. It is a technical document grounded in a regional cooperation strategy designed to amplify national opportunities and experiences. Its pillars include energy planning, capacity-building and leadership, mobilisation of finance, and the acceleration of energy transitions.

This document is the result of joint work by representatives from the energy, environment, and finance sectors of CPLP countries, carried out over more than a year through seminars, workshops, and technical sessions. The process remains ongoing, allowing for the integration of initiatives proposed by both public and private sector stakeholders.

The Roadmap functions as a concrete cooperation platform, based on economies of scale, efficiency gains, and increased visibility derived from implementing regional actions rather than isolated efforts. Strengthening this cooperation enables the identification of new partnerships, the integration of new capacities, and the diversification of financing and investment sources for each country.

How can different stakeholders engage with this Roadmap?

The Roadmap is intended as a starting point for collective action. We therefore invite all interested parties to join as implementation partners in the initiatives already identified or to propose new regional initiatives, helping to secure access to financing and accelerate implementation on the ground. The guiding principle of this Roadmap is precisely to move from words to action—transforming ambition into concrete results.