Angola

Angola is Africa’s second largest oil producer, a position that drives its economy which is valued at a nominal GDP of $122.1 billion as of 2025. The country has a population of about 39 million people which translates to a GDP per capita of $3,131. While services and agriculture continue to support employment and domestic economic activity, the economy remains overwhelmingly dependent on hydrocarbons. Oil and gas contribute roughly 30% of GDP, but account for more than 90% of merchandise exports and around 70–75% of government revenues. This concentration makes the performance of the energy sector central not only to Angola's economic growth, but also to its fiscal position, external trade and foreign-exchange earnings.

The country has proven oil and natural gas reserves of xyz and xyz respectively. These volumes have so far driven more exports rather than powering domestic economic activity. Angola’s primary gas monetisation strategy is Angola LNG, a gas liquefaction facility located in Soyo and operated by Chevron, whose products are all sold in the international market. Angola LNG in itself was a solution to a flaring problem which was growing as associated gas volumes increased in maturing oil fields. While these secure the much-needed foreign exchange and government revenues, there is growing concern for securing domestic supply to power homes and industries. Only 51.1% of Angolans had access to electricity as of 2023 - a metric that is made worse by a deficiency in grid infrastructure. The Angolan national grid is in fact not “a grid” but a series of disconnected ones, and, because they are not unified, surplus generation in one region cannot easily cover a shortfall in another. There are also parts of the region that are not within reach of any section of the grid, a figure estimated at 86% for rural residents and 8% for urban residents. These challenges however present investment opportunities in upstream non-associated gas to expand gas volumes and ease competition between exports and domestic supply; investment in generation, transmission and distribution capacity.

Angola's installed generation capacity is estimated at around 5.6 GW, yet only about 4.5 GW is typically available at any given time. 56.6% of this capacity is hydropower and its seasonality plays a role in the disparity between installed capacity and availability. Aging infrastructure in the hydropower facilities as well as thermal units which represent xyz% of installed capacity, also cause outages that contribute to the disparity. Solar is scarce in the energy mix, contributing only about 2% much of which is off the grid.

Angola's energy consumption remains relatively low by international standards. Electricity consumption stood at 368.6 kWh per capita in 2023, more than 10 times lower than the global average of 3,156.5 kWh - a reflection of the low electricity access across the country. Improving consumption is not only rooted in expanding generating capacity but also in the harmonisation and rehabilitation of the grid network. On the former, investment has been poured into offgrid solar projects to close the gap in rural areas that are outside the reach of the national grid. Cazombo park (commissioned in December 2025) and Luau park (commissioned in May 2026) are two notable projects addressing this with capacities of 25.4MW and 31.85MW respectively. In addition, the Angolan government, through the state-owned PRODEL, is driving a rural electrification project to deploy a total of 256 MWp of solar power and 595 MWh of battery storage across six provinces valued at $1 billion. With respect to grid rehabilitation and harmonisation, the government is driving the Huambo-to-Lubango transmission line to connect the central grid in Huambo to the southern hub in Lubango to unite Angola's power systems. More recently, the country is looking to unlock gas-based power plants into its energy mix through the commercialization of non-associated gas. The New Gas Consortium, including Azule Energy, Chevron, and TotalEnergies, achieved first gas at Quiluma field in March 2026, the country’s first non-associated gas project to achieve such. The project will supply both domestic energy consumption and international LNG export markets.

Together, these initiatives aim to improve energy security, expand electricity access and create a more resilient power system capable of supporting long-term economic and industrial growth.