The African Energy Chamber has criticized the UK’s decision to withdraw $1.15 billion in funding from the Mozambique LNG project, citing concerns that Western climate agendas are undermining Africa’s need for energy security and economic growth. The project, led by TotalEnergies, has the potential to deliver 13 million tons of liquefied natural gas annually, powering industries and supporting economic development in a region where millions lack reliable electricity.
The UK’s decision, announced on Monday, comes at a time when global energy markets are facing unprecedented pressure. The African Energy Chamber argues that the withdrawal of funding prioritizes the UK’s “green and woke” agenda over African progress, focusing on reducing emissions rather than addressing energy poverty and the need for energy security.
The Mozambique LNG project has faced security challenges in the past, with TotalEnergies suspending operations in 2021 due to instability in northern Cabo Delgado. However, improved conditions have allowed the company to resume planning, contingent on government approval for a revised development roadmap. The US Export-Import Bank has reapproved a loan for the project, recognizing the improved situation on the ground.
The African Energy Chamber condemns the UK’s decision, stating that it undermines African energy security, industrial ambitions, and efforts to lift millions out of energy poverty. The chamber argues that Africa needs partnerships that respect African priorities, timelines, and the sovereign right to develop sustainably, rather than being dictated by foreign climate agendas.
The project is expected to create at least 10,000 direct jobs by 2025, focusing on local populations and supporting young graduates with small and medium-sized enterprise development. Construction of the Mozambique LNG facility alone is estimated to create around 5,000 jobs. The project has already generated rising government revenues, with state LNG-related earnings increasing by over 20% last year.
The African Energy Chamber’s Executive Chairman, NJ Ayuk, stated that the Mozambique LNG project highlights what African energy development should look like: ambitious, transformative, and responsible. He emphasized the need for Africa to develop independent financing mechanisms, attract investors who respect its priorities, and strengthen regional cooperation to protect critical energy projects.
The withdrawal of funding by the UK underscores the urgent need for Africa to take control of its energy future, rather than relying on foreign financing or conditional support. The Mozambique LNG project has the potential to deliver the energy, revenue, and human capital needed to power industry, boost public services, and lift communities out of energy poverty, and its success is crucial for the continent’s economic growth and development.
