1- Ministerial Diploma 119/2023, dated November 14, 2023, approved the first Mozambican Code on Renewables (the “Code“);

2- The Code establishes the technical requirements applicable to facilities generating electricity from renewable energy sources (“Renewable Energy Facilities”), the applicable principles during their operation and the technical conditions applicable under the Manager of the National Electric System (“Gestor do Sistema Eléctrico Nacional- GSEN”); (1.2.3.);

3- The diploma complements the National Electric Net Code (“NENC”), approved under Ministerial Diploma 184/2023 of November 12, 2013 and must be interpretated having in mind some of the provisions established by the NENC;

4- According to the legislator, the Code is based on the best international practices and adopted principles established in:

• the EU Regulation 2016/631 of April 14, 2016;
• the South African “Grid Connection Code for Renewable Power Plants”, of 2019;
• the Namibia Renewable Energy Grid Code, of 2020;
• the Kenya National Transmission Code of 2016; and
• the Grid Connection Code of Malawi of 2019.

5- The Code covers all Renewable Energy Facilities connected (using either synchronous or asynchronous technologies) to the National Electricity Transmission and Distribution Network;

6- Renewable Energy Facilities that are outside of or not connected with the National Electricity Transmission and Distribution Network are not covered by the Code;

7- The Code divides Renewable Energy Facilities into two categories:

• (Type 1) – facilities with a connected load higher than 75 kilowatts (“kW”) and lower than 15 megawatts (“MW”) and a voltage level equal or lower than 66KVkV; and
• (Type 2) – facilities with a connected load equal or above 15MW and a
• voltage level higher than 66KV.

8- All new Renewable Energy Facilities must present a project for integration in the electricity network, to the GSEN for their analysis;

9- The Code outlines specific principles that apply based on whether Renewable Energy Facilities fall into Category Type 1 or Type 2;

10- It also provides specific guidelines for the operation of the Power Plants considered as relevant “(Power Plants with a capacity higher than 1 MW are classified in the Code as “relevant”);

11- The Code gives the GSEN the necessary powers to establish the principles that operators and users must follow in order to assure:

• the cybersecurity of the energy network; and
• the resilience of Renewable Energy Facilities to natural phenomena.

12- The operator and the owner of a Renewable Energy Facility must execute a “connection contract“ (“contrato de ligação”);

13- Any changes to the technical capacities of a Renewable Energy Facility or incidents at a Renewable Energy Facility must be notified to the operator;

14- The operator (or any other entity designated by the Ministry of Energy and Mineral Resources) is responsible for assessing a Renewable Energy Facility’s compliance with legal and technical standards and issue a certificate of conformity Without this certificate, a Renewable Energy Facility cannot start operations; and

15- The GSEN also plays a role in the conformity process by analysing all technical data, and requesting tests and simulation.

1.The GSEN is a public entity created under the Mozambican Electricity Code (Law 12/2022 of July 11, 2022), with administrative and financial autonomy and which has the functions of System and Market Operator. 2. The GSEN statutes and organic structure needs to be approved by the Mozambican Council of Ministers; until such approval takes place EDM (Electricity of Mozambique)- eventually assisted by other entities – will be the responsible for the future functions of GSEN. 3.It is expected some delay until GSEN statutes and structure are fully approved; this can create some confusion in the initial projects.

Vitor Marques da Cruz, OneLegal Partner.