Powering up Mozambique

How has Siemens been supporting Mozambican industry?

Siemens has been present in Mozambique for around 60 years. We built the railway to South Africa, the pylons for the Cahora Bassa Hydroelectric Project, and the HVDC solution that delivers power to South Africa. Siemens was present before anyone even began to talk about gas and coal. We have been supporting Mozambique in terms of energy, education, and healthcare for decades. The CT scanners in the majority of hospitals across the country were also supplied by Siemens. We have a team of local people that provides maintenance services for this equipment. We receive support here locally, and from South Africa and Germany. We are also present in the energy and infrastructure sectors. And today, in the advent of the discovery of hydrocarbons, we’re ready to share our experience of working in this specific industry. We’re also positioning ourselves to continue supporting Mozambique and working on power generation, LNG plants, transmission lines, and new hospitals.

What was behind the decision to increase Siemens’ role and commitment to Mozambique?

Mozambique is a very important country for Siemens in Africa and is a key market in our growth strategy. We recently received a visit from the executive management in Germany, underlining the importance given to this market. As a company, Siemens sees many growth opportunities in Mozambique. With the opening of our new branch office earlier this year, we are gearing up for continued growth. Our new office in Maputo will help us to better serve our customers and support our business strategy. These are exciting times with many opportunities for Siemens and for Mozambique. For us, it is only the beginning of further growth.

The German Minister of Technology and the State Secretary of Foreign Affairs also visited Mozambique recently. What was the significance of this?

That arose from a project that we began working on two years ago with the German embassy in Maputo and our colleagues at the Siemens headquarters. In short, perceptions are changing about Africa as a continent, and Mozambique is considered a key market in Africa’s growth story.

What convinced them that the market had changed?

The facts speak for themselves. Mozambique is experiencing rapid economic growth of over 7% per annum, making it one of the fastest growing economies in Africa. The country’s coal mining industry is one of the drivers of economic growth. The Mozambique coastline has emerged as a new energy hub following large natural gas discoveries off shore. Mozambique is also experiencing rapid urbanization. Today, around 7 million people live in Mozambique’s urban centres. And by 2030, around 14 million Mozambicans will live in cities. This all presents many opportunities for local and international companies. The spotlight is squarely on Mozambique and many companies around the world are focusing on the country.

What role can local sourcing and content play in your operations here?

Large infrastructure projects provide a great opportunity to not only create local jobs, but also invest in skills development for the future. As the main contractor, Siemens will ensure that Mozambicans benefit from the growth of their own country by being employed locally and help build infrastructure for their country. We are going to employ graduates from universities and give them necessary training. For example, for the substation component of the project we will employ more than 300 people, all locals. They will not only have much needed jobs, but will also benefit from training and skills transfer by working with world-class technology.