Abu Dhabi-based renewable energy developer Masdar has signed its first power purchase agreement (PPA) in Angola, securing an offtake deal for the 150-megawatt Quipungo solar photovoltaic project in Huila province.
The agreement marks Masdar’s formal entry into Angola’s power market and anchors a wider 500 MW renewable energy programme planned across the country’s southern region.
The offtake agreement was signed with Angola’s state-owned transmission company, Rede Nacional de Transporte de Electricidade (RNT), on the sidelines of the International Renewable Energy Agency (IRENA) Assembly in Abu Dhabi.
For Angola, the deal represents a concrete step toward diversifying an electricity system still heavily dependent on hydropower and diesel generation.
Quipungo is the first contracted project under Project Royal Sable, Masdar’s planned 500 MW solar portfolio in Angola.
The wider programme is expected to span three sites and is designed to strengthen grid stability in the south of the country, where electricity access and reliability remain uneven.
Masdar said the Quipungo project alone is expected to supply electricity to around 300,000 homes and create more than 2,000 jobs during construction and operation.
Once completed, it will feed directly into Angola’s national grid under a long-term offtake structure, a key requirement for unlocking project finance in emerging markets.
For Angola, the agreement comes as the government accelerates efforts to attract private capital into power generation. Although the country has made progress expanding generation capacity over the past decade, grid constraints and regional imbalances continue to limit access.
Southern provinces, in particular, remain vulnerable to supply shortfalls during dry seasons when hydropower output drops.
Energy officials have repeatedly said solar power will play a central role in reducing that exposure. Utility-scale projects such as Quipungo are intended to complement existing hydro assets, rather than replace them, and reduce reliance on costly thermal generation.
For Masdar, the Angola deal fits into a broader push across Africa. The company is already active on the continent through Infinity Power, its joint venture that operates approximately 1.3 gigawatts of solar and onshore wind projects in South Africa, Egypt and Senegal.
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Infinity Power also has a development pipeline of roughly 13.8 GW, spanning renewables, battery storage and green hydrogen.
Masdar said the addition of Project Royal Sable supports its global target of reaching 100 GW of installed or committed renewable energy capacity by 2030. Africa has emerged as a key growth market as governments seek large-scale, bankable projects backed by long-term offtake agreements.
The Angola PPA also reflects a wider shift in how renewable projects are structured in frontier markets. Investors increasingly prioritise sovereign-backed offtakers, currency risk mitigation and clear regulatory frameworks. Without these elements, many large projects struggle to reach financial close despite strong resource potential.
While Masdar did not disclose the tariff or contract duration, industry analysts note that long-term PPAs with state utilities remain essential for lowering financing costs and attracting international lenders. Angola’s willingness to sign such agreements is likely to be closely watched by other developers considering entry into the market.
The Quipungo deal follows Masdar’s recent expansion beyond Africa. Earlier this year, the company signed its first PPA in Malaysia for what it described as Southeast Asia’s largest floating solar project, underlining its strategy of building a geographically diverse renewable portfolio.
By Thuita Gatero, Managing Editor, Africa Digest News. He specializes in conversations around data centers, AI, cloud infrastructure, and energy.
