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MCC Commits $27M to Shaping Mauritania’s Energy Future

by Krystal

Mauritania and the Millennium Challenge Corporation (MCC) have signed a $27 million threshold grant agreement aimed at modernizing the country’s electricity sector and boosting resilience. This grant will fund two projects designed to address development challenges, reduce poverty, and foster inclusive economic growth in Mauritania.

The first project, the Energy Project, supports the Mauritanian government’s goal of achieving universal electricity access by 2030. It will focus on building the capacity of key energy sector stakeholders to create inclusive plans for new energy generation, improve the operation of the electricity grid, and strengthen regulatory frameworks.

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The second project, the Resilience Project, is designed to enhance Mauritania’s ability to plan, fund, and implement environmental resilience strategies. By strengthening institutions and building capacity, this project aims to align investments with long-term sustainability and social development goals.

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According to the Regulatory Indicators for Sustainable Energy (RISE), only 45% of Mauritania’s population has access to electricity, though over half of the country’s energy mix comes from renewable sources. The African Development Bank (AfDB) highlights several challenges, including sectoral disorganization, technical capacity gaps, and imbalances between demand and supply of clean, affordable electricity.

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The International Energy Agency (IEA), in its 2024 report, notes that Mauritania is rich in wind and solar resources. Large-scale development of these renewable sources could help the country achieve universal electricity access and support sustainable economic growth. Renewables could also benefit the mining sector, the country’s largest industry, which currently relies on diesel and heavy fuel oil. Shifting to renewable energy could lower operational costs, reduce emissions, and improve energy efficiency and security.

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MCC CEO Alice Albright emphasized that investing in energy and environmental resilience through the threshold program would create a lasting foundation for Mauritania’s development. “By enhancing security, supporting democratic development, and boosting economic prosperity, the United States is steadfast in its support of Mauritania,” she said.

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