3 Mozambique Services and Supply
Mozambique consumes and imports close to one million tons of oil per year, the bulk of which is in the form of diesel.
At present, there is no oil refinery in the country – all refined products must therefore be imported. The storage capacity of oil products in the country is over 750,000 tons.
There are plans to build a joint (Mozambique, Malawi and Zimbabwe) refinery (10,000 bpd) in Nacala, which may happen soon, given the current economic development prospects in the country.
The state-owned Oil Company Petromoc has a 40% market share of distribution and marketing of fuel products and lubricants. Other companies include BP, Total, Galp, Puma, and Engen. There are four main oil terminals in the ports of Maputo, Beira, Nacala and Pemba, and close to 400 filling stations throughout the country.
There is a pipeline between Beira and Harare operating at near full capacity.
Gas has recently become an important source of energy for both industrial and domestic use in the south of the country, due to the exploitation of gas in the Inhambane province.
3.1 Mozambique Fuel
Fuel Overview
All petroleum products need to be imported, with the exception of natural gas, as Mozambique started to produce natural gas late last century in the province of Inhambane. Current, privately-operated gas production holds proven reserves of 2.6 trillion cubic feet (TCF). The natural gas is produced and processed at a central facility, and then transported via an 865 km pipeline to South Africa, with a link to southern Mozambique for domestic use.
New sites are being developed in the Rovuma basin (Cabo Delgado) that holds over 180 TCF of liquified natural gas (LNG) reserves . Production was due to start in 2022, however, due to security constraints in the sites surrounding areas it was postponed to 2023. Mozambique is expected to become one of the major LNG exporters in 2024.
In terms of other fuels, the ports of Matola (Maputo), Beira and Nacala all have import terminals. Plans are underway to establish a fuel refinery at Nacala, however work has not yet started and it may be some time before it is operational. The extent to which it will provide fuel for the Mozambique domestic market also remains undetermined.
For more information on government and fuel provider contact details, please see the following links: 4.1 Government Contact List and 4.7 Fuel Providers Contact List.
Information may also be found at: http://www.mytravelcost.com/petrol-prices/ which is updated monthly.
Fuel Pricing
The cost of the fuel imported into Mozambique fluctuates according to world prices and currencies. After approximately one year without variation, on 21 October 2021, the GoM readjusted the fuel prices. Diesel was the least affected with 7% increase, while cocking gas (GLP) suffered the major increase (22%). To minimize the impact, the Government continues to subsidise the diesel prices for the public transport
Fuel Prices per Litre as of: 21 October 2021 |
|
---|---|
Petrol |
MZN 69.04 (US$1.09) |
Diesel |
MZN 61.71 (US$0.98) |
Paraffin |
MZN 47.95 (US$0.76) |
Jet A-1 |
US$0.87 |
Seasonal Variations
Seasonal Variations |
|
---|---|
Are there national priorities in the availability of fuel? (i.e. are there restrictions or priorities for the provision of fuel such as to the military?) |
No |
Is there a rationing system? |
No |
Is fuel to lower income / vulnerable groups subsidized? |
No |
Can the local industry expand fuel supply to meet humanitarian needs? |
Yes |
Is it possible for a humanitarian organization to directly contract a reputable supplier / distributor to provide its fuel needs? |
Yes |
Fuel Transportation
Fuel distribution within Mozambique is largely done by road, with railways being a second option in specific occasions. Transport infrastructure and fleets are sufficient to handle the current domestic needs. The potential for increased demand from the humanitarian community does not represent a major challenge.
Standards, Quality and Testing
Industry Control Measures |
|
---|---|
Do tanks have adequate protection against water mixing with the fuel? |
Yes |
Are there filters in the system which monitor where fuel is loaded into aircraft? |
Yes |
Is there adequate epoxy coating of tanks on trucks? |
Yes |
Is there a presence of suitable firefighting equipment? |
Yes |
Standards Authority |
|
---|---|
Is there a national or regional standards authority? |
Yes |
If yes, please identify the appropriate national and/or regional authority. |
National: Instituto Nacional de Petróleo |
If yes, are the standards adequate/properly enforced? |
Yes |
Testing Laboratories |
|
---|---|
Are there national testing laboratories? |
Yes |
Fuel Quality Testing Laboratory |
|
---|---|
Company |
SGS (www.sgs.co.mz/en) |
Address |
Avenida da União Africana, n.º 7666 |
Telephone and Fax |
Tel.: +258 21 728 090 |
Standards Used |
ASTM Aviation Fuel Methods |
Disclaimer: Inclusion of company information in the LCA does not imply any business relationship between the supplier and WFP / Logistics Cluster, and is used solely as a determinant of services, and capacities.
Please note: WFP / Logistics Cluster maintain complete impartiality and are not in a position to endorse, comment on any company's suitability as a reputable service provider.
3.2 Mozambique Transporters
Mozambique Transporters
Regional round-trip transit times: Lilongwe = 8 days, Blantyre = 6 days, Lusaka = 8 days, Harare = 3 days… these are estimates and providing there are no border crossing/clearance delays. Routings to Malawi ex- Beira: Blantyre is best via Milange (Mulanje) and Lilongwe is best via Tete and Calomue (Dedza). The Tete Bridge crossing rate for trucks is MZN 800 (US $23) for north-bound traffic only but delays can be as long as 4 days due to lane closures from maintenance. The new Armando Emilio Guebuza Bridge over the lower Zambezi at Caia has the same rates but without any delays
Mozambique - 3.3 Mozambique Additional Service Providers
Vehicle Rental, Taxi Companies, Freight Forwarding Agents, Handling Equipment, Power Generation and ISPs.
4.8 Mozambique Additional Services Contact List
Vehicle Rental
For a list of rental car companies, please select the contact list given above.
For information on road security and for driving tips, please select the following document:
Mozambique Additional Service Providers Additional Information
Taxi Companies
For a list of taxi companies, please select the contact list given above.
Freight Forwarding Agents
For a list of freight forwarding agents, please select the contact list given above.
Handling Equipment
For a list of handling equipment agents, please select the contact list given above.
Electricity and Power
The electricity authority is Electricidade de Moçambique – EDM is responsible for generation, transmission and distribution but there are other companies that produce and distribute electricity. The principal generator is Hidroelectrica de Cahora Bassa, a company jointly owned by Portugal (82%) and Moçambique (18%) and the biggest hydroelectric scheme in Southern Africa. Hydropower is the most important commercial energy resource with huge potential, 2,545 MW has so far been developed. A total of 2,400 MW is installed at Cahora Bassa Dam on the Zambezi River. The installed capacity of EDM is 316 MW, of which is all hydropower, diesel plants are installed but only used as a back-up. Demand for electricity is increasing at a rate of over 20% per year so current surplus will soon disappear. For a list of main producers / distributors of electricity and power, please select the contact list given above.
For information on Power Stability, please select the following document: Mozambique Additional Service Providers Additional Information
Production Unit |
Type [1] |
Installed Capacity (MW) |
Current Production (MW) |
---|---|---|---|
Cahora Bassa Power Station (20% for Moçambique) |
Hydro Power Station |
2,400 MW |
2,400 MW |
Chicamba Power Station |
Hydro Power Station |
60 MW |
60 MW |
Mavuzi Power Station | Hydro Power Station | 60 MW | 60 MW |
Corumana Power Station | Hydro Power Station | 25 MW | 25 MW |
[1] E.g. Hydroelectric power, Thermal power…
Internet Service Providers (ISPs)
For a list of ISPs Provider Companies, please select the contact list given above. It is estimated that there are over 350,000 internet subscribers which represents 1.6% of population. In 2009 there were 14 internet service providers in Moçambique
Internet Service Providers |
|||
---|---|---|---|
Are there ISPs available? (Yes / No) |
Yes | ||
Private or Government |
Government & Private |
||
Dial-up only (Yes / No) |
No |
||
Approximate Rates |
Dial-up: |
n/a |
|
Broadband: |
Dedicated line rate is approximately US $800 per month |
||
Max leasable ‘dedicated’ bandwidth |
Dedicated line up to 2 mbs Shared broadband wireless up to 512 kbs |
3.4 Mozambique Manual Labour
The rate quoted below has been set by the GoM and is the minimum legal pay rate for casual workers.
Labour Rate(s) Overview (as of November 2021) |
|
---|---|
|
Cost |
Daily General Worker (Unskilled casual labour) |
219.27 MZN =3.47USD |
Daily General Worker (Semi-skilled labour) |
N/A |
Skilled Worker |
N/A |
3.5 Mozambique Telecommunications
Telecommunications Overview
The telecommunications infrastructure in Mozambique is largely confined to urban areas and its service is predominantly mobile. It is dominated by the three existing mobile operators: Vodacom (private – https://vm.co.mz/), Movitel (private – https://movitel.co.mz/), and Mcel (state-owned – http://www.mcel.co.mz/) and the incumbent fixed operator TDM (Telecomunicações de Moçambique, state-owned – http://www.tdm.mz/). Mcel and TDM are being merged in an effort to combine business activities, aiming to improve the cost-efficiency of state-owned companies, i.e. improving performance with lower costs.
Mozambique has one of the lowest level of fixed telephony penetration in the region. Less than 2% of households are subscribers of landline communications. In contrast, the mobile market keeps growing at an average rate of 26% per year, and covers over 65% of the population.
Mobile broadband penetration (3G) is estimated at approximately 30%, mainly in urban areas, because most of Mozambique’s inhabitants (up to 70%) live in rural areas where high costs and low returns make it commercially unattractive for mobile operators to roll out mobile broadband services. However, new entrant Movitel has been rolling out its network aggressively in rural areas and already offers 3G-based voice services and broadband, though to a small extent.
4G services are not yet available.
Some urban areas of Mozambique are benefiting from investment in fibre optics networks by commercial players, but this is still limited to very dense urban areas in the larger cities.
Mozambique is well-served by international connectivity and, in general, there do not appear to be any concerns regarding the pricing or availability of international connectivity. However, it can be expensive to access international connectivity through backhaul service providers.
Factors such as poor network quality, a lack of standardised network specifications, high backbone network pricing, unbalanced spectrum charging mechanisms and a wide range of economic factors have resulted in a lack of infrastructure sharing, duplication of backbone networks and a lack of investment in telecommunications networks in rural areas to provide voice and broadband services.
Further reform of the legal and regulatory framework is underway to increase competition, strengthen sector governance, reorganise state-owned operating companies, and extend services to all.
For more information on telecoms contacts, please see the following link: 4.8 Additional Services Contact List
Telephone Services |
|
---|---|
Is there an existing landline telephone network? |
Yes |
Does it allow international calls? |
Yes |
Number and Length of Downtime Periods (on average) |
Downtime periods are rare. |
Mobile Phone Providers |
|
Approximate Percentage of National Coverage |
80%-90% dial-up connection. |
Telecommunications Regulations
Mozambique’s Communications Regulatory Authority is the “Instituto Nacional das Communicações de Moçambique” (INCM – http://www.incm.gov.mz/home), which falls under the jurisdiction of the Ministry of Transport and Communications (MTC). The INCM is responsible for defining policies and strategies, and serving as an arbitrator and guarantor of law enforcement.
Regulations on Usage and Import |
||
---|---|---|
Regulations in Place? |
Regulating Authority |
|
Satellite |
Yes |
INCM |
HF Radio |
Yes |
INCM Ordinary licence required. Import regulation not applicable. |
UHF/VHF/HF Radio: Handheld, Base and Mobile |
Yes |
INCM Ordinary licence required. Import regulation not applicable. |
UHF/VHF Repeaters |
Yes |
INCM Ordinary licence required. Import regulation not applicable. |
GPS |
No |
|
VSAT |
Yes |
INCM Ordinary licence required. Import regulation not applicable. |
Individual Network Operator Licenses Required |
||
|
||
Frequency Licenses Required |
||
It is necessary to obtain authorisation from the National Institute of Telecommunications to obtain a frequency license for all type of communications (VSAT, HF, VHF). |
Existing Humanitarian Telecoms Systems
WFP has the most extensive telecommunications network with repeaters spread countrywide. Other large networks belong to UNDP, UNHCR, UNICEF and FAO.
Existing UN Telecommunication Systems |
||||||
---|---|---|---|---|---|---|
WFP |
UNICEF |
UNHCR |
FAO |
UNDP |
WHO |
|
VHF Frequencies |
Yes |
Yes |
No |
Yes |
Yes |
No |
HF Frequencies |
Yes |
Yes |
Yes |
Yes |
Yes |
Yes |
Locations of Repeaters |
Countrywide |
Maputo |
Nampula |
Maputo |
Maputo |
No |
VSAT |
Yes |
Yes |
Yes |
Yes |
Yes |
No |
Internet Service Providers (ISPs)
Internet connectivity is available in most of the country, mainly through mobile service providers. In dense urban areas, there is an increased utilisation of fibre optic connections. 4G connections are not yet available. A wide range of private companies are able to provide internet services.
Internet Service Providers |
||
---|---|---|
Are there ISPs available? |
Yes: TVCabo, Mcel/Teledata, Movitel, Vodacom. |
|
If yes, are they privately or government owned? |
Private and state-owned |
|
Dial-up only? |
No Fibre optics exist in urban areas, and/or VSat. |
|
Approximate Rates (local currency and USD - $) |
Dial-up |
n/a |
Broadband |
|
|
Max Leasable ‘Dedicated’ Bandwidth |
15 GB |
Mobile Network Operators (MNOs)
The first mobile service provider was Mcel (state-owned), which was followed by Vodacom and more recently Movitel, both being private. Mcel and Vodacom have targeted first the corporate sector, whilst Movitel’s strategy aims at the population at large, mainly in rural areas. Vodacom and Movitel have been quite reliable. In contrast, Mcel has had some problems lately, but the merge with TDM should improve the provision of services in the near future.
The best mobile money service provider is Vodacom (MPesa), followed by Mcel (MKesh). The Movitel service (e-Mola) is still having teething problems. For more information, please check the following websites:
Mcel: http://www.mcel.co.mz/
Vodacom: https://vm.co.mz/
Movitel: https://movitel.co.mz/
For information on MNOs please visit the
GSM
Association website.
Company |
Network Strength by Area |
Contracted for Humanitarian or Government Cash Transfer Programmes? |
Services Offered (i.e. Merchant Payment, Bulk Disbursement, Receive & Make Payment) |
---|---|---|---|
Mcel |
27% |
No |
Yes (MKesh) |
Vodacom |
26% |
Yes |
Yes (MPesa) |
Movitel |
47% |
No |
Yes (e-Mola) |
3.6 Mozambique Food Suppliers, Accommodation and OtherMarkets
Mozambique Food Suppliers, Accommodation and Other Markets
4.8 Mozambique Additional Services Contact List
Main Food Suppliers
Locations: Most commodities are produced and
stored in the provinces of Nampula and Zambezia, as well as the
major cities in the central region… Chimoio, Gorongosa, Beira and
Tete
Transport: The country is large so transport costs
must be taken into account as they can be expensive
Currency: Know the currency used during the
procurement transcations, know the exchange rate (official and
formal)
Payments: Be aware of payment requirements,
vendors might demand an advance payment of up to 50 % etc
Deliveries: Be patient during deliveries of orders
as there will always be some surprises, prepare a ‘Plan B’
Packaging: There are only two food packaging
companies in Moçambique, one in Maputo and one in Nacala
(SANAL)
Sugar: For locally produced sugar it is only
possible to be purchased through the DNA (Distributor Nacional de
Acucar)
Assistance: If you need any advice then contact
the WFP Procurement Unit, they will be happy to assist
Accommodation
For a list of accommodation providers, please select the contact list given above.