The government of Angola has authorised €201.2 million for the first phase of its Electricity Grid Expansion Project, targeting Luanda and Icolo e Bengo. The project aims to provide power to 125,000 homes and increase the city's electrical infrastructure capacity by 280 MVA. President João Lourenço signed the presidential decree on 4 November 2026, allowing the project to move forward. The funding covers Lot A, which includes several key areas in Luanda.
The project will benefit over 500,000 residents and involves the construction of three new substations, each rated at 80 megavolt-amperes. A 40 MVA transformer will also be added to the Polo Industrial de Viana substation. These works will deliver roughly 280 MVA of additional nominal transformation capacity. The infrastructure component includes 103 kilometres of high and medium-voltage overhead lines. This will address upstream grid constraints and local distribution bottlenecks.
The project covers 55 kilometres of 60 kilovolt high-voltage overhead lines and 48 kilometres of 30 kV medium-voltage overhead lines. The combined scope aims to improve the overall efficiency and reliability of Luanda's electrical grid. By investing in new substations and transmission lines, the government hopes to meet the growing demand for electricity in the city. The project is part of Angola's efforts to expand its electrical infrastructure.
According to government figures, the programme allocates approximately €1,610 per targeted home. The project will be implemented under the Public Investment Programme of the General State Budget. Minister of Energy and Water João Baptista Borges will oversee the implementation of the project. This clear line of authority is expected to reduce ambiguity for prospective suppliers and contractors.
Contract execution will follow a simplified procurement procedure, justified by the use of external financing. The structure offers a sizeable, well-defined work package covering substation equipment, transmission lines, and medium-voltage upgrades. This is expected to attract international interest from investors and contractors. Angola's grid strategy has already drawn attention from international companies.
In October 2026, ENDE-EP signed a works contract with PROEF Portugal for rural-electrification projects in the Maize Triangle. This separate contract signals a broader pipeline for grid-related contractors across Angola. The Luanda project carries a distinct commercial profile, offering opportunities for investors and suppliers. The government's efforts to expand the electrical grid are expected to have a positive impact on the local economy.
The project is a significant step towards improving the electrical infrastructure in Luanda and addressing the growing demand for electricity. With a clear plan and defined budget, the project is expected to be completed efficiently. The government's commitment to expanding the electrical grid is expected to have a positive impact on the lives of residents in Luanda.
Key points
- The project targets 125,000 homes and aims to increase Luanda's electrical infrastructure capacity by 280 MVA.
- The project involves the construction of three new substations and 103 kilometres of high and medium-voltage overhead lines.
- The programme allocates approximately €1,610 per targeted home, with a total authorised budget of €201.2 million.
