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Surging demand for sustainable energy drives growth

19 Oct 2023 - by -
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Af ter grappling with significant challenges in recent years, the Mozambican energy sector is seeing an uptick in activity, particularly in the realm of liquefied natural gas (LNG) production. However, this upswing in energy-related ventures was just one facet of a broader and noteworthy trend unfolding on the global stage, said Howie Frylinck, general manager at Pentagon Freight Services. There has also been a substantial increase in inquiries and shipments bound for Mozambique from regions outside of Africa, according to Frylinck.“Volumes have been up and down at times but overall, we have noted an increase over the past 12 months,” he said. “Unfortunately, volumes are not there yet and not consistent for carriers to commit to a more frequent or regular service, causing a few challenges for freight forwarders. This is particularly so when it comes to moving cargo in and out of the northern parts of the country and requires a lot more planning. Having a good team on the ground, sharing information that will help us make informed decisions, is critical to our operation in Mozambique.”Frylinck said in terms of airfreight, bigger and heavier pieces had to be routed via other airports and could often not be f lown directly to Mozambique. “When it comes to road freight there are still challenges at the border crossings and with customs while road conditions are not always optimal. We need to plan well and allow for delays.”However, amidst its challenges, Mozambique presents a spectrum of opportunities, particularly considering the surging global demand for sustainable energy. A seasoned international freight forwarder observed: "If the political climate stabilises and safety concerns in the northern regions are addressed, Mozambique is poised to meet the high expectations in LNG production. This, in turn, will catalyse further opportunities as ancillary needs surface. The demand for electricity will rise, ushering in more renewable energy and diverse energy generation projects. Enhanced trade, encompassing essentials like food, will follow suit. As overall productivity escalates, Mozambique's economy is set to thrive, leading to improved infrastructure and a promising outlook for the nation."

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Mozambique 20 October 2023

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